Manila, Philippines (4E) – Ford Motor Company’s Philippines unit announced Wednesday the closure of its 13-year-old assembly plant in the Southeast Asian country by yearend.
Ford ASEAN President Peter Fleet told reporters the plant in Sta. Rosa, Laguna south of Manila could not produce enough cars to generate profits for shareholders.
Ford Philippines President Randy Krieger said the plant’s annual car production is only 36,000, way below the 300,000 units produced in Ford plants in other countries.
The plant’s closure will result in the layoff of 250 workers and leaves the Philippines without a car exporter. Ford Philippines is the only car manufacturer and exporter in the country. Cars produced in the plant are exported to Thailand, Malaysia and Indonesia.
The plant has exported as total 80,000 units worth $1 billion since it opened in 1999.
Meanwhile, Fleet said the number of Ford dealers in the Philippines will be increased to 40 from the current 20 by 2015.