According to Peter Fleet (Inset), president of Ford ASEAN, the plant in Sta. Rosa, Laguna south of Manila could not produce enough cars to generate profits for shareholders, with the plant’s annual car production of only 36,000 units, significantly lower than the 300,000 units produced in Ford plants in other countries.

The plant’s closure will result in the layoff of 250 workers and leaves the Philippines without a car exporter. Ford Philippines is the only car manufacturer and exporter in the country. Cars produced in the plant are exported to Thailand, Malaysia and Indonesia.

The plant has exported a total of 80,000 units worth $1bn since it opened in 1999 and despite an announcement of the plant's closure, the number of Ford dealers in the Philippines will be increased to 40 from the current 20 by 2015.