Deals
Ford Cedes Control in India After Struggling to Make Inroads
- U.S. carmaker taking up to $900 million charge on India assets
- JV valued at $275 million; Ford invested $2 billion in India
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Ford Motor Co. agreed to move most of its assets in India into a joint venture with a local partner after struggling for more than two decades to win over buyers in the world’s fourth-largest auto market.
The deal effectively ends Ford’s independent operations in a country it wanted to become one of its top three markets by 2020. The U.S. carmaker will take an $800 million to $900 million impairment charge related to the value of its India assets in the third quarter, it said Tuesday, after struggling to compete with cheap, fuel-efficient vehicles built by the local units of Suzuki Motor Corp. and Hyundai Motor Co.