Ford has confirmed that its Australian division will continue developing vehicles locally, reinforcing the importance of its engineering and testing operations in the country.
According to reports from CarSales, Ford spends around $500 million annually on research and development in Australia, with much of that work centred around the You Yangs proving ground in Victoria. Over the past decade, Ford says it has invested roughly $5 billion into local R&D operations.
The confirmation comes after comments from Ford CEO Jim Farley earlier suggested the company may need to consider shifting some vehicle development activities elsewhere as engineering costs continue to rise globally.
However, Ford executives have now reaffirmed their commitment to Australia’s role in global vehicle development.
You Yangs remains key to Ford’s global operations
Ford’s You Yangs proving ground has been operating since the 1960s and has played a major role in testing and developing vehicles for Australian conditions. In recent years, it has become a key engineering hub for global products such as the Ford Ranger and Ford Everest.
Global truck program director Mario Brandini praised the capabilities of Ford Australia’s engineering team during a recent visit.
“The success of this place is what you see on the road,” Brandini said. “We wouldn’t be investing here if we were going to end and go somewhere else.”
Ford Australia product communications manager Ben Nightingale also highlighted the scale of the company’s local investment.
“The real key piece in that puzzle here is that $5 billion has been invested in R&D in Australia in the last 10 years,” he said.
Ford Ranger Super Duty impressed global bosses
Nightingale also revealed that Ford CEO Jim Farley visited Australia earlier this year and drove the upcoming Ranger Super Duty, which reportedly left a strong impression.
Ford recently confirmed that the Ranger Super Duty will also be sold in Europe, further underlining the global importance of Ford Australia-developed products.
The Ford Ranger continues to be one of Australia’s best-selling vehicles, while the Everest remains a strong player in the large SUV segment.
Why does this matter for Australia?
Ford ending local manufacturing in Australia back in 2016 raised concerns about the future of automotive engineering in the country. However, the company’s latest comments suggest Australia will continue playing a major role in developing future Ford trucks and SUVs.
With Australian conditions considered among the toughest in the world for vehicle durability testing, Ford’s local engineering expertise remains valuable for global product programs.
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