According to Reuters News Agency Ford Motor Company has released plans on a strong investment of $1.8 Billion (11.4 Billion Yuan) spread over a period of five years to expand R&D in China. This news confirms the direct and concerted effort made by the US Motor giant carmaker in order to secure for itself a rather large slice of the world’s largest auto market, still untapped by some major players.
Ford now stands as the fifth-largest foreign automaker in China. It follows GM, Volkswagen AG, Hyundai, and Nissan. However, Ford has had a rapidly ascending gain in the Chinese market share at the expense of its Japanese rivals and the smart effort to incorporate the consumer tastes of the Chinese, in the cars which it sells in the country.
“By 2020 we will offer customers in China a range of hybrid, plug-in hybrid and full electric vehicles,” said Ford CEO Mark Fields speaking at a corporate event held in Shanghai. He also added that the US carmaker will be introducing to the Chinese market within a year the C-Max Energi (a plug-in hybrid), as weak as the Mondeo hybrid.
Due to a rather immense lack of infrastructure, the progress towards the use of more electric and hybrid vehicles in order to combat an abhorrent pollution has been really slow, in spite of Beijing’s efforts at encouraging their use. Ford’s move may carry thus a great key to allow the US carmaker to climb positions fast, but moreover to gain favor with a rather staunch government.
We shall keep an open eye on this front.
