Ford, Sollers create joint venture to produce cars in Russia

American automaker Ford Motor Co. and Russian automaker Sollers OJSC signed an agreement for a US$2.6 billion joint venture to produce cars in Russia. The new business, named Ford Sollers, is scheduled to start operations later this year. The 50-50 joint venture will produce six new models to include the Focus, Mondeo, Transit and additional new models. The project will employ more than 9,000 people, 3,000 of which will be new jobs. As part of the project, a plant to produce 180,000 gasoline engines per year will be built by 2015. “Russia is set to become Europe’s largest market for new vehicles by mid-decade and provides the Ford brand a huge growth opportunity. Ford Sollers will help to build the Ford brand in Russia and support profitable growth, while also strengthening the Russian automotive industry and its local supply base,” said Stephen Odell, chairman and CEO of Ford of Europe. (June 9,2011)