Ford has announced that the company’s Ford Dagenham Engine Plant, Dagenham, UK, will manufacture the latest advanced technology diesel engines for the next generation Ford Transit Custom range.
The next generation Ford Transit Custom range will be built by Ford Otosan, a joint venture in Kocaeli, Turkey, from early 2023. The next generation Volkswagen one-tonne commercial vehicle will also be built in Kocaeli as part of a Ford-Volkswagen Alliance.
“This is great news for the entire Ford Dagenham Engine Plant team and reinforces the strong relationship between diesel engine production at Dagenham and Transit vehicle production at Ford Otosan in Turkey,” stated Martin Everitt, Plant Manager, Ford Dagenham.
The announcement, with its anticipated incremental engine volumes, helps to safeguard jobs at the Dagenham Engine Plant. By 2025, it is expected that up to 60% of the plant’s entire diesel engine volume will be destined just for the one-tonne commercial vehicles being built by Ford Otosan.
Ford’s Dagenham engine manufacturing facility exports much of its diesel engine production to Ford Otosan, where the engines are fitted into Ford Transit vehicles, around 30% of which are then exported from Turkey to the UK.
In total, Ford and Ford Otosan business constitutes more than 10% of the total trade volume between the UK and Turkey, and so the trade agreement reached between Turkey and the UK at the end of 2020 was extremely significant for Ford and Ford Otosan and helped to secure jobs in both countries.
“Today’s announcement is great news for Ford and its 7,500 workers across the United Kingdom. Our trade deal with Turkey has helped to secure jobs by protecting supply chains for our great automotive manufacturers like Ford and has provided businesses with the confidence to keep investing in Britain,” added Ranil Jayawardena, International Trade Minister, Department of International Trade. “Trade has the power to create jobs, boost wages and bring economic growth to every corner of our country as we build back better from COVID-19.”
While Ford expects around two-thirds of its commercial vehicle sales in Europe to be all-electric or plug-in hybrid by 2030, diesel will continue to play an important role in commercial vehicle applications in the years ahead, especially as total volumes of Ford Transit and Transit Custom range sales continue to grow.