Asian Tech Press (Dec 31) -- India's Tamil Nadu industry minister said several foreign automakers had expressed interest in acquiring Ford's plants in Tamil Nadu, following unsuccessful negotiations between Ford and the Tata Group.

It is understood that in September of recent years, Ford announced that it would stop producing cars in India and would close its two plants in India.

Ford is expected to pay about $2 billion in special project expenses ($600 million in 2021 and $1.2 billion in 2022) for shutting down the Indian plants.

Jim Farley, CEO of Ford Motor Company, said the measure was "tough but necessary" for Ford's long-term growth.

Tamil Nadu Industry Minister Thangam Thennarasu revealed, "Negotiations between Ford and foreign automakers are currently underway, but the final decision will depend on Ford, as it will be a commercial arrangement. We are just facilitating the negotiations." Thennarasu did not disclose the specific companies involved in the negotiations.

This comes after the Tata Group, which has also shown interest in acquiring Ford's Indian plant, has met with the state's chief minister and visited the plant for preliminary studies. Still, the state government has yet to hear from them about any deal.

It is worth noting that Ford is the next U.S. automaker to stop production in India after General Motors. 25 years ago, Ford entered the Indian market, but currently, the Indian car market is dominated by Maruti Suzuki's low-priced cars and many foreign automakers are having a hard time gaining share in India.