The Tamil Nadu government is in talks with the Tata Sons Private Limited (Tata Group) over a possible takeover of the Ford India Private Limited unit at Maraimalai Nagar in Chennai, a top ministry source told ET late on October 7, 2021 night. Details of the meeting have not been divulged but a high ranking source said that since the chief minister chaired the meeting, the announcement regarding the final decision too would come from the chief minister himself. The buzz got stronger after news of Tata Sons Chairman N Chandrasekaran meeting with Chief Minister Stalin and state Industries Minister Thangam Thennarasu surfaced out in the open.

This is said to be the second round of high-level talks that took place with the TN Chief Minister MK Stalin within a span of two weeks. In response to ET's queries, a Tata Motors Limited (BSE:500570) spokesperson said that Chandrasekaran had a courtesy meeting with the Tamil Nadu chief minister and everything else was speculation. Ford's Maraimalai Nagar plant has an annual production capacity of 200,000 vehicles and 340,000 engines.

It manufactured the EcoSport and Endeavour which were exported to over 30 countries. Ford Motor Company (NYSE:F) had invested more than $1 billion in the plant. Ford also has a factory in Sanand, Gujarat.

After Ford announced its exit from India, its employees were staring at an uncertain future. “We have not received any official communication about the same as yet,” said S Suresh, president of the Ford Workers Union. “No one from the Tata group has visited the factory either.

They have only met with the Chief Minister and there could be many reasons for that. Earlier when talks were on, representatives of the companies would visit the Ford plant. We are still awaiting news”.