Ford will continue with Mexico transition in spite of Trump win

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Sharecast News | 16 Nov, 2016

US automaker Ford Motor will not change its plans to move small car production operations across the border to Mexico, despite threats from president-elect Donald Trump of a massive tax increase.

Chief executive Mark Fields said that Trump's election would have no affect on the company's move and reassured that no jobs would be lost as a result of the change.

During his election, Trump threatened companies that they would face tax penalties for producing goods in Mexico and other nations, in an attempt to incentivise domestic companies to keep jobs in the country.

Fields said that such levies would cause serious damage to the US economy, and said that he believed that they wouldn't come to pass.

"A tariff like that would be imposed on the entire auto sector that could have a major impact on the US economy," Fields said at the Los Angeles auto show.

"I continue to think that the right policies will prevail because we continue to share the same objective which is a healthy and vibrant US economy," he added.

In a further interview with the Fox Business Network, Fields said that Ford's move from its Michigan plant to Mexico would have "zero impact" on jobs in the US.

"We're a multi-national company, but our home is here in the US," he said. "In North America the majority of our capital expenditures, our research is done here. And just like we're investing in Mexico, we've been there for 90 years, we're investing here in the U.S."

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