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Ford Transferring All U.S. Production of Small Cars To Mexico

By September 15, 2016 at 6:56 am
Ford Car (Photo : (Photo credit: MIRA OBERMAN/AFP/Getty Images))

Ford is planning to shift production of all its North American small-cars to Mexico, Mark Fields, CEO announced to investors Tuesday. The company is set to do this even if its production investments in that country have turned into a lightning rod that sparked controversy in the current presidential elections.

"Over the next two to three years, we will have migrated all of our small-car production to Mexico and out of the United States," said Fields during a whole day conference with investors in Dearborn.

The news caused a new round of criticism of the company from Donald Trump, the Republican Presidential candidate. Trump was in Flint Wednesday campaigning.

"We shouldn't allow it to happen. They'll make their cars, they'll employ thousands of people, not from this country, and they'll sell their car across the border," said Trump on his campaign. "When we send our jobs out of Michigan, we're also sending our tax base," he added.

The Ford Focus and the Ford C-Max are the only small cars the carmaker is producing in the U.S. They are built in the company's facilities in Wayne, Michigan. Ford made an announcement last year that it will end the U.S. production of those cars in 2018. However, there was no confirmation where they will be transferred.

Ford is now producing the Lincoln MKZ, the Fusion, and the Fiesta in Mexico. The car maker will still continue building the Mustang, the Lincoln Continental and the Taurus in the U.S.

Fields made the announcement as part of the company's Investor Day where it unveiled a new strategy on how to best deal with their sluggish-selling small cars.

In the near-term, U.S. employment at Ford will only be minimally impacted by this production shift to the Southern Border. It is expected by some that the car maker will build a new mid-size Ranger in Wayne and probably a compact sport-utility Bronco.

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