Ford Motor Company on Tuesday announced plans to cancel the building of a $1.3 billion plant in Mexico and instead invest $700 million in a Michigan assembly plant, directly tying the decision to “pro-growth policies” championed by President-elect Donald Trump.
Trump had previously been critical of Ford’s plans to build in Mexico.
CEO Mark Fields, speaking at an event at the Flat Rock Assembly Plant, said the policies that Trump “and the new Congress have indicated they will pursue” were vital to the company’s decision.
“We believe these tax and regulatory reforms are necessary to boost U.S. competitiveness,” Fields said.
The investment in the Flat Rock plant is set to create 700 jobs, according to Fields. The money will be used to open a new factory used to build high-tech autonomous and electric vehicles as well as the Mustang and Lincoln Continental, the company said in a press release.