Ford Otosan invests in truck production

Ford Otosan invests in truck production

ISTANBUL - Reuters
Ford Otosan invests in truck production

Company photo

Ford Otosan is investing $75 million in its İnönü factory in the Anatolian city of Eskişehir to expand its truck production operations, according to Ford Otosan General Manager Haydar Yenigün. The company will produce 3,000 new Cargo vehicles per year, starting in 2013.

Ford Otosan, which is a partnership between Turkey’s Koç Holding and U.S. Ford Motors currently produces 10,000 truck per year at its Eskişehir İnönü facility. The company plans to increase total truck production to 20,000 per year in order to export to new markets. Total production at Ford Otosan’s two plants is therefore expected to reach 280,000 this year.

Speaking at a press conference, Yenigün said Ford Otosan would begin producing the new cargo series in 2013.

“As of 2013 we plan to produce about 3,000 new Cargo models. We plan to increase this to 15,000 in the coming years and then to 20,000 depending on market conditions. The 3,000 Cargos figure will also grow,” he said.

He added that Ford Otosan currently exported 1,000 trucks to 65 different markets per year, but that this figure was expected to reach 5,000 to 6,000 by 2016. Ford Otosan plans to increase its Cargo exports to Russia, as well as to North Africa and countries to the south of Turkey.

Yenigün also said that by the end of 2013, Ford Otosan would revamp its car dealerships in Turkey, opening 40 new sales, service, and second-hand sales webs. This will cost the company somewhere between 5 million and 9 million Turkish Liras, according to Yenigün. In 2011, Ford Otosan had a 22.8 percent market share in Turkey’s truck market, but this figure is expected to reach 25 percent this year.