FORD INVESTS MORE THAN R3.0 BILLION IN GLOBAL EXPORT

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FORD INVESTS MORE THAN R3.0 BILLION IN GLOBAL EXPORT PROGRAMME TO INCREASE ITS PRODUCTION CAPACITY

Port Elizabeth – 14 April 2010 – The Ford Motor Company of Southern Africa (FMCSA) today confirmed that the Struandale engine plant in Port Elizabeth has been awarded the export contract for the new Puma diesel engine, as part of an overall investment of more than R3,0- billion in South Africa for the production of Ford’s next-generation compact pick-up truck.

The production facility is scheduled to complete by mid 2010 and first completed engines and components are scheduled to export early 2011. The Puma engine used for the next generation compact pick-up truck will be supplied by the Struandale engine plant. The investment will bring the annual capacity at Struandale to 220,000 machined components.

“This investment highlights our commitment to expanding the South African automotive industry, which will enhance the country as an export base for vehicles, engines and components,” said Jeffery Nemeth, president and CEO of Ford Motor Company of Southern Africa. “With approximately three-quarters of the vehicles produced for export, the plant will be positioned as a regional centre of excellence. Despite a tough period of economic uncertainty, we have steadfastly maintained our focus on becoming a global player that can compete with the very best.”

In addition to its increased production, the strategic move signifies the higher standard of equipment and advanced technology that will be deployed at the two facilities. It demonstrated that the company’s unrelenting drive to achieve the highest standards of quality, efficiency, costcompetitiveness and safety in recent years.

Wallace Yearwood, Struandale engine plant manager, noted that the Ford Struandale engine plant was one of the first in SA to achieve the latest ISO 9001:2008 Quality Management Certification in June 2009, followed a month later by the Maximum Level 8 Quality rating from Ford’s Global Powertrain Organisation.

“Our Port Elizabeth team has already proven its ability to be among the best in the world, but with the adoption of the latest technology for the manufacturing of the high-tech Puma engine, we’ll be enhancing the skill sets of our employees even further,” said Yearwood.

The new-generation turbocharged common-rail diesel Puma engine utilises Ford’s newest powertrain technologies, and complies with the latest EU5 emissions standards, bringing commensurate benefits in environmental compatibility, fuel efficiency and performance.

Key Ford Engine Plant Timeline

  • 1924 – Ford plant opens in Port Elizabeth, making it the 16th Ford plant outside North America
  • 1964 – Engine Plant site and facilities commissioned in Struandale
  • 1982 – Plant output reaches 300 engines a day
  • 1987 – One-millionth engine produced
  • 1990 – Manufacture of the Ford V6 Essex 3,0-litre engine starts for export
  • 1995 – Awarded export contract to Europe for Ford PTe 1.4 and 1.6 EFI engines
  • 1996 – Plant output increases to 400 engines a day as the project starts
  • 1998 – Appointed as manufacturer of Ford RoCam engines for local and export use
  • 1999 – Production of Ford RoCam 1.6 engine begins
  • 1999 – Appointed as sole global manufacturer of RoCam 1.3 engines for SA and

Europe

  • 2000 – SABS ISO 14001 environmental certification
  • 2001 – Manufacture of RoCam 1.3 engine starts
  • 2002 – Export of RoCam engines to Russia begins
  • 2002 – Plant output increases from 400 to 900 engines a day
  • 2003 – The plant reaches 1,5-million engine milestone
  • 2005 – Export of RoCam engines expanded to include Mexico and South America
  • 2005 – 500 000th RoCam engine produced
  • 2006 – Export of components to China and India reaches 100 000 mark
  • 2006 – 750 000th RoCam engine and two millionth powerplant
  • 2007 – The plant produces its millionth RoCam and 2,5-millionth engine
  • 2008 – Puma engine export programme announced
  • 2009 – Engine Plant achieves ISO 9001:2008 Quality Management Certification Maximum Level 8 Quality rating from Ford’s Global Powertrain Organisation (PTO)
  • 2010 – Puma export programme investment finalised for Struandale Engine Plant, as part of overall investment of more than R3,0-billion in FCMSA, which includes the new-generation pick-up to be produced at Silverton. Upgrade and expansion of Struandale Engine Plant commences