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Ford’s China market heavy truck experiment remains a mystery


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Signs of progress at Ford Motor Company’s JH476 heavy truck project in China, JMC Heavy-Duty Vehicle Company, continue to be illusive.

Despite having signed a heavy truck joint venture agreement with JMC* long ago on January 8, 2013, no Ford trucks have yet gone into production.

On October 23, 2015, Ford and JMC displayed 4x2 and 6x4 prototypes which resemble the global market Cargo tractor produced in Turkey at Ford-Otosan.

The two prototypes are rarely seen.

JMC has no previous experience in heavy trucks.

Ford Otosan, Ford Motor Company and Ford Global Technologies LLC (Licensors) signed a technology licensing agreement on July 25, 2014, with Jiangling Motors Corporation (JMC).

Ford Motor Company holds a 32 percent stake in the heavy truck joint venture.

The agreement granted JMC a non-exclusive license relating to Ford Cargo product technology, know-how and technical documentation relating to the design, manufacture and service of the Cargo chassis, cab and related components of Ford branded heavy trucks.

The agreement stipulates that the sale of licensed Ford products and JMC-branded trucks containing these products will be limited to China.  

JMC agreed to pay Ford-Otosan an entry licensing fee of 8 million Euros, an average 390 Euro licensing fee per unit for each chassis produces, and 39 Euros for each cab produced.

The terms of the agreement are 12 years starting from mass production (which was originally predicted to be the 2016 model year......they missed that), followed by three year extensions..

A new full-size Cargo cab is expected by 2018 (H62X Global Cargo Truck Program).

* Ford joint-ventured with Jiangling Motors Corp. (JMC) in 1997 to build European Ford “Transit” full-size vans. Ford increased its stake in JMC to 31.5 percent in 2013. Located in East China's Jiangxi Province, the JMC-Ford joint venture also builds JMC-branded SUVs, pickups, vans and light trucks (Ford also has a passenger car joint venture with Changan Automobile Co. in Chongqing).

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