Ford will invest US$80 million to develop a new generation of engines

The Minister of Economy, Sergio Massaannounced Monday that the company Ford Argentina will make an investment of 80 million dollars in the plant that it owns in the Buenos Aires town of Pacheco, for the development of a new generation of engines for the Ranger pick-up.

The head of the Palacio de Hacienda expressed that “today we have an investment of 80 million dollars that will allow us to have the most technologically modern engines in the world for the Ford Ranger and this is the work of the Argentines, an enormous opportunity to grow for the country”.

Massa spoke during a brief ceremony at the headquarters of the economic portfolio, accompanied by the Secretary of Domestic Trade, Matias Tombolini; the president of Ford and Adefa, Martin Galdeano; and the general secretary of the Automobile Transport Mechanics and Allied Union (Smata), Ricardo alberto pignanelli.

The minister expressed the commitment to “guarantee the entire supply chain, continue paying the capital bonds, continue facilitating the investment process so that all automakers and auto parts manufacturers continue to develop.”

Massa pointed out that “More than 30% of the announced investment goes to the auto parts sector and that means generating Argentine labor that is exported.”

The minister stressed that “it seems essential to me that we continue developing this task and that jobs continue to be generated at the table at which the State, companies and workers sit.”

“Continue advancing in the industrialization process in Argentina, decent work with quality and training like Ford’s investment,” added Massa.

These new investments mean reducing imports, adding added value to our exports and, above all, creating decent and quality employment, which is key to continuing on the path of development, including Argentina.#CreoEnArgentina

— Sergio Massa (@SergioMassa) March 6, 2023

For his part, the president of Ford Argentina said that “30% of the investment” that the company will make for US$ 660 million in its General Pacheco plant in Buenos Aires, will be allocated to “a very ambitious plan for the national localization of auto parts.”

The executive added that the industrial process of the brand pursues “a great development of the national auto parts industry, generating quality employment and contributing to the communities in which it operates.”

The company’s investment project includes a local development plan for auto parts, which projects a production of 41% of Argentine origin for the manufacture of the Ranger model, for which Ford will allocate 30% of the planned investment.

With this announcement, the total investment for the production of the next generation of the Ranger pick-up in the country reaches a total of US$ 660 million dollars.

With @DMVasco of Industry, @MatiasTombolini of Commerce, Ricardo Pignanelli of the @sindicatoSMATA and Ford South America authorities, we announced an investment of 80 million dollars for the Pacheco production plant, which will manufacture and export high-tech engines. pic.twitter.com/BuXIgVhj6Z

— Sergio Massa (@SergioMassa) March 6, 2023

During the meeting, Ford authorities explained that the investment contemplates the transformation of the Pacheco engine plant with the incorporation of the latest technologies and production processes of the company at a global level, as well as 4.0 manufacturing concepts.

The start of production of the new engines at the Pacheco Plant will take place during the year 2024. This decision is a demonstration of the importance of the operation of Ford Argentina and Ford’s commitment to the country.

According to data from Adefa, in February production in the automotive industry grew 22.9% year-on-year, exports rose 19.7% and sales to the domestic market 18.5%.

Meanwhile, in the first two months the increase in production was 30.5% compared to the same period in 2022.