Ford exports slow down in H1 FY18

Exports of Ford’s Indian subsidiary, ranked No. 1 exporter of passenger vehicles (PVs) in the first half of 2017-18, have slowed down in the past three months owing to constraints in supply chain and intensive planning for Ford EcoSport’s new model.
 
Ford’s 23 per cent share in PV exports is followed by Hyundai Motor India and Maruti Suzuki India in second and third spots, respectively.
 
Ford exports, however, started slipping from August onwards, falling a whopping 55.4 per cent in the month, then falling 42.8 per cent and 25.6 per cent in September and October, respectively. From April to July, however, Ford posted a healthy growth in exports.
 
A spokesperson said, “Constraints in the supply chain and planning of new model for Ford EcoSport have had impact on exports as well as domestic production for Ford cars in August.” The company, however, expects to launch the new EcoSport in the Indian market soon as well as commence exports to North America.
 
On the domestic front, sales have been in the slow lane, falling 43.8 per cent in the festive month of October and down in the previous two months as well, resulting in more exports out of India than sales in India.

During the first half of FY18, the firm exported 64 per cent of its production from two plants located in Chennai and Sanand, shipping 82,347 units during the period (up 11.5 per cent year-on-year) while selling 45,472 units in the domestic market (down two per cent year-on-year).
 
It exports the EcoSport, Figo and Figo Aspire to Latin America, West Asia (the Middle East) and Africa.