Ford to invest $1 billion in Chicago plant

Ford after $1 billion investment in Chicago Source: Bloomberg

Ford has announced plans to invest $1 billion in its plants in Chicago. The investment is expected to create 500 new jobs.

Why is Ford investing $1 billion in Chicago?

Ford is having success with sales of its Explorer and Lincoln Aviator models, and will expand production of the sport utility vehicles(SUVs). To make more of the SUV’s, the carmaker will finance the $1 billion expansion into the existing plants,manufacturing facilities in Chicago, and building new body and paint shops. Complete overhauls of the plants and completions of the news buildings will be completed by summer.

Joe Hinrichs, Ford’s president of global operations, noted that the makeovers for the facilities will help to manufacture the new cars.

‘When it’s all finished, Chicago Assembly[plant] will have an all-new, state-of-the-art body shop, an all-new paint shop and new tooling to build this new lineup. And the Chicago Stamping Plant will have all new lines to support the new vehicles,’ said Hinrichs.

Ford is touting this investment as a promise to US autoworker unions to create more American jobs.

‘We are furthering our commitment to America with this billion-dollar manufacturing investment in Chicago and 500 more good-paying jobs’, said Hinrichs.

Ford spokeswoman, Kelli Felker, echoed the pledge to keep more of the corporation's jobs in the US, and Chicago in particular.

‘More jobs is always a good thing for everybody. We've actually been here in Chicago for over 100 years. We've very excited to keep up our commitment,’ said Felker.

What’s next for Ford?

Ford is confident that this latest venture will help increase its SUV sales in the future.

‘We are proud to be America’s top producer of automobiles. We reinvented the Explorer from the ground up, and this investment will further strengthen Ford’s SUV market leadership,’ said Hinrichs.

Ford’s latest investment will hopefully help the automaker increase profits after a successful Q4 earnings report. The automaker will also probably help the US economy by creating more jobs.

See an opportunity to trade?

Go long or short on more than 16,000 markets with IG.

Trade CFDs on our award-winning platform, with low spreads on indices, shares, commodities and more.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices
Bid
Offer
Updated
Change
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Bid
Offer
Updated
Change
Bid
Offer
Updated
Change
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Monday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.


IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

This information/research prepared by IGA or IGA Group is intended for general circulation. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person. You should take into account your specific investment objectives, financial situation or particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. In addition to the disclaimer above, the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.

Please see important Research Disclaimer.