Ford investing $1.2B in 3 Michigan plants, adding 130 jobs

Posted March 29, 2017

Shortly thereafter, Ford announced its plans to invest $1.2 billion in its Flat Rock Assembly Plant, Michigan Assembly Plant, and Romeo Engine Plant.

"Car companies coming back to USA", the president added.

The company had signaled its basic intentions in this regard even before Donald Trump began campaigning on the issue of Ford outsourcing its small-car production to Mexico.

"Closing a plant down for a week or reducing a shift reduces the amount of vehicles made and therefore reduces revenue", AutoPacific Manager of Product Analysis Dave Sullivan told Automotive News. Auto companies coming back to US.

Ford will also invest $150-million at the Romeo Engine Plant in Macomb County to expand capacity for engine components for several vehicles, including the Ranger and Bronco.

Another $200 million will go toward a new advanced data center at Ford's factory in Flat Rock, Michigan, where the company already has said it will add 700 jobs. And, a $200 million investment for advanced data center in MI supports Ford's expansion to an auto and mobility company and expected dramatic increase in data storage needs.

- This report was updated at 10:32 a.m.

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Ford says it will take four weeks to remove and reinstall the tooling necessary to build the redesigned Ranger and Bronco.

In today's truck-centered USA model, analysts say, that strategy is far more likely to retain and even grow jobs.

The automaker plans to invest $9 billion in USA facilities through 2019, resulting in 8,500 new or retained jobs, according to the 2015 contract.

The Michigan Economic Development Corporation is set to approve new state incentives for Ford at a meeting Tuesday.

Mr Trump has at times promoted job announcements at the White House that had been previously planned or announced.

"I think the auto companies are being savvy in the way they publicize them (the investments) to appease the President", Krebs said. That announcement came as Ford canceled plans to build a $1.6 billion facility in Mexico because of declining demand for the small cars built there. Trump has needled Ford and other automakers in the past about plans to move small vehicle production to Mexico.

Krebs said planning for the Bronco dated back at least two to three years, and was discussed with the unions before they signed their agreement with Ford in November 2015.