Ford Union

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The Ford Union ( Belarusian : Форд-Юніён ) is a former joint venture of Ford Motor Company , the Belarusian Lada - Importer Lada-OMC and the Government of Belarus. A total of $ 10,000,000 was raised to build the plant . This made it the most expensive Ford plant in Europe. With the experts, however, the construction of the plant was controversial from the start, so that they ultimately even forced the President Aljaksandr Ryhoravich Lukashenka to a press conference with five strategically selected foreign journalists on July 23, 1997 . These disputes ultimately made the event an event of national importance. The company's chief executive officer was Alan Batty .

history

The work

Opened in 1997, working in Obchuk , near the state capital Minsk was for CKD - Assembly designed the vehicle parts, consisting of Polish , Hungarian and Czech traditional production plants. The markets of the Russian Federation and those of the CIS countries should be supplied.

State perks

In order to keep production cheap, another contract was signed with the Belarusian government, which guaranteed a five-year reduction in customs duties , consumption tax and VAT . In the course of this, Ford wanted to take a share of up to 70% in the company.

The failure

After almost three years of production, the fears of the economic experts at the time were true. Production for 1999 reached just 440 vehicles, with a possible annual capacity of 6000 units. Due to the insufficient demand, it was recognized that the demand on the target markets was too low and that a change in the situation was not to be expected. In July 2000 assembly was stopped after exactly three years and the factory was closed.

The plant was then run by the auto supplier Fenox Lada , which was replaced by Unison in 2003 .

Model overview

  • The units from the assembly of Ford Union can be recognized in the vehicle identification number by the manufacturer code Y4F and an R in the eleventh position.

Participation

  • Ford Motor Company: 51%
  • Republic of Belarus: 26%
  • Lada OMC: 23%

Individual evidence

  1. ↑ Hell on wheels? (Ford opening assembly plant in Belarus) (Brief Article) - The Economist (US) . encyclopedia.com. Retrieved July 27, 2010.
  2. ↑ Ford To Halt Assembly In Belarus July Due To Low Demand . findarticles.com. June 2, 2000. Archived from the original on June 29, 2012. Retrieved July 27, 2010.
  3. ^ Russel R. Miller: Selling to newly emerging markets . ISBN 1-56720-044-3, book page 192, 1998. Retrieved July 28, 2010.
  4. ↑ Ford Club Belarus • Просмотр темы - vin КОД . Forum.fordclub.org. Retrieved July 29, 2010.
  5. ^ VIN: FORD (europe) . CARInfo. Retrieved July 29, 2010.