Ford is reported to have plans to triple its shipments of automotive components from Russia to its European plants during the next three years. According to Ford’s Vice President-Procurement, Hau Thai-Tang, the number of Russian parts makers supplying European Union automakers will increase from the current three to between 15 and 20 by 2019. It was added that in value terms exports could increase by a factor of ten overall.
Ford Sollers, the U.S. automaker’s joint venture in Russia, already exports alloy wheels, brackets and spark plugs from Russia to the EU, which are supplied to the automaker’s assembly plant in Germany and its UK engine factory.
In addition to the UK and Germany, supplies will be exported to Ford’s Romanian plant, which specialises in production of B-Max multipurpose vehicles and plans to begin building EcoSport compact CUVs about a year from now.
Ford Sollers also produces engines in Tatarstan, located 640 km east of Moscow, which are used in its Russian made cars. The company has not ruled out the possibility of exporting engines built there.
The Russian government supports Ford’s plans to export auto parts and is reported to have promised state support to offset logistics costs.