Ford's Verve to Be Hecho En Mexico
Ford will build the Verve (or whatever they end up calling their subcompact) in Mexico. And we know this because…? The Detroit Free Press reports "two people with knowledge of Ford's production plans" told them so. Although Ford refuses to identify the location of their new subcompact's fabricator, it appears the concessions given by the UAW still don't make a U.S.-built economy car a profitable proposition. Global Insight's NA light-vehicle production manager doesn't see "Made in America" making a comeback anytime soon. "In general we see capacity in the U.S. dropping," Haig Stoddard advised. "And continuing to gradually rise in Mexico." That's at least until the automakers replace most of their older UAW work force with cheaper new hires. But even at the lower $14.20 per hour rate, American workers still make a lot more than their Mexican counterparts. Between that and the Mexican government's willingness to contribute incentives, well, it's a slam dunk. No matter where it's made, Ford needs the Verve ahora. ¡Ándale!