Ford To Build Plant In Philippines

April 10, 1998 / 2:01 PM EDT / AP

Ford Motor Co. plans to resume operations in the Philippines next year, 16 years after pulling out.

The second-biggest U.S. automaker said it was encouraged by the economic and political stability seen under President Fidel Ramos.

Ford plans to invest about $100 million in an assembly plant capable of producing at least three different body styles. Groundbreaking for the plant will take place this month in Santa Rosa, 30 miles south of Manila.

The plant, which will open in the fall in 1999, will produce the Ford Ranger pickup truck, the Laser passenger car and the Econovan commercial truck. In addition to the plant, several component supplier plants will join Ford in the Laguna Automotive Technology Park, Ford said.

"Under the leadership of President Ramos, the Philippines has exhibited the political and economic stability that gives us the confidence to make this investment," Wayne Booker, Ford vice chairman, said in a statement today.

The Philippines is the latest Asian growth market targeted by Ford. In 1996-97, Ford and its joint venture partners opened plants in China, India and Vietnam, and increased its participation in a joint venture in Malaysia.

Later this year, Ford will begin manufacturing and selling the Ford Ranger in Thailand and will export to Asia-Pacific and European markets in 1999.

Ford shut down operations in the Philippines in 1983 during political and economic instability that followed the assassination of opposition leader Benigno Aquino Jr., husband of former President Corazon Aquino.