Since October of 2011, the Ford Kuga will be produced in the United States. The Blue Oval has revealed an insider of the issuer Cologne Bloomberg TV. The decision to move production of the Kuga in the U.S. is linked to three factors: the low labor costs, a weak dollar and the ability to market the SUV also in the U.S. market. Assembly of the car was chosen plant in Louisville, Kentucky. About 80,000 units will be exported to Europe, which will remain the main market for the Ford Kuga.
Brian Johnson, an analyst with the automotive sector for Barclays Capital, in an interview with Bloomberg TV just said that the choice of Ford "has a meaning, because Western Europe is not a particularly cheap to build cars" . In addition, Johnson has estimated that the cost of labor in the U.S. could be lower by about $ 10 per hour per employee, compared to that charged in Germany.
Barclays Capital analyst concluded by saying that "to produce a car with European specifications on an assembly line in the United States also demonstrates the advantages in having common platforms. Finally, thanks to this initiative for the Kuga, Ford could get from UAW concessions similar to those already given by the union at GM and Chrysler.
