The Ford Automobile International announced that it will close its factory in Brazil and will stop the sale of trucks in South America to have a "sustainable return on its operations" in the continent.
The measure will affect the Ford plant in Sao Bernardo do Campo, in the Sao Paulo metropolitan region (southeast of Brazil), with around 2,800 people working.
The company said that it had made the decision after several months of searching for alternatives, which included partnerships and even sales of operations. "Ford is committed to South America by building a profitable and sustainable business, strengthening the supply of products, creating positive experiences for consumers and operating with a more viable, concise and efficient business model," said Lyle Watters, president of Ford in South America, in a statement.
In its Brazilian factory, Ford produces Cargo, F-4000 and F-350 cargo, along with Fiesta tourism. Ford expects an additional cost of 460 million dollars when closing operations at its factory in South America, and 97 will be paid for compensation to employees, sellers and suppliers.
According to the company, most of these expenses are calculated in 2019 and have already been included in the 11,000 million dollars that it intends to spend to restructure its business worldwide .