In June 1924, the president of China, mr. Sun Yat-sen (Sun Zhongshan) wrote a letter to Henry Ford I, inviting him to start a Ford factory in China.
Not a strange idea, as Ford was very active at that time to find possibilities to start assembly factories in several countries; in Europe, in Russia, in South America, Japan and in South Asia.
Cover Time magazine, Henry Ford I.
In November 1924 Mr. Ford declined the invitation with a very short note, written by his secretary. “Thank you for the kind invitation,” his response read, but “Mr. Ford has made no plans for visiting China in the very near future.”
It lasted till 1930 that the Ford Motor Company decided to explore the possibilities of a factory in China.
Mr. W. C. Cowling, who was working for the department of mr. Charles E. Sorensen, a Ford executive placed in charge of the plants in the US and abroad, was sent to China. Mr. Cowling was later general sales manager of the Ford Motor Company from 1931-1937.
Cowling’s letters and telegrams for Charles Sorensen describing his findings can by found in the library of the Benson Ford Research Center in Dearborn USA.
Cowling started his trip in July 1930, going to Shanghai.
Thereafter he made a round trip, visiting Dalian and Harbin in Manchuria (Dongbei), and Tianjin. He wanted to visit Wuhan, but Wuhan was unreachable due to the uncertain war situations. Then he came back in Shanghai.
From all the letters and telegrams, it is very clear that Cowling’s focus is on industrial areas: Manchuria, Wuhan and Shanghai. He speaks during several occasions with mr. T.V. Soong (Song Ziwen), the Minister of Finance and the brother in law of president Sun Yat-sen. And with mr. C. T. Wang (Wang Zhengting), Minister of Foreign Affairs, both are from the Nanjing (Guomindang) Government.
The situation in China at that time was confusing: a strong Japanese threat, with the invasion of Manchuria (Dongbei) in 1931 and the battle of Shanghai in 1932, including the bombarding of the Chapei district (Zhabei) in the city. There was a nationalist (Guomindang) government in Guangzhou, later in Nanjing, there were warlords, for instance in Manchuria, there was a civil war going on between nationalists and communists.
At that time there was in the US much doubt if the Chinese really wanted foreign factories in their country. The idea was that there was a strong feeling against foreign interference in China. It was only 30 years after the Boxer Rebellion. But the Chinese government came to the conclusion that China could not exist without foreign capital. Cowling reported home that T.V. Soong had assured him: “encouragement would be given toward American investments in industrial enterprises in China”. H.H. Kung (Kong Xiangxi), Minister of Industry & Commerce; another borther-in-law of Sun Yat-sen, told him that he “believes that Mr. Ford is here to develop the country rather than to exploit it”. Kung had visited Ford in the US in 1924.
Cowling was looking for land for the factory. Edsel Ford (Henry’s son)
“was of the opinion that we should acquire at least three to five hundred acres (121ha-202ha) of land.” Cowling checked the International Settlement in Shanghai, came to the conclusion that the land price there was too high. Another possibility was 3-5 km outside of the settlement. “Over a space of 20km on each side of the Settlement and both sides of the Whangpoo River the prices are something terrific. The waterfront land runs all the way from 30.000- 50.000 dollars an acre (equivalent of 50-83 million dollar today)”.
C.T. Wang talked on behave of the Good Road Movement in China, he told Cowling “that the Chinese government would be glad to furnish a suitable price of ground in a prominent place in the International or French Settlement upon which mr. Ford might construct a building in which we (the Good Road Movement) would be housed.”
Cowling talked with many other persons, not only government officials. In Tianjin he spoke with people from the Mining Corporation. They had strong feelings about doing business in China, Cowling reported: “they cannot see how the country can absorb very many more automobiles within the next 5 years…they say that the Chinese system of ‘squeeze’and the high taxation when any concern shows any sign of prosperity, coupled with the communist forces, make the industrial outlook rather blue for China.”
Ford sent later the same year another delegation with Frank C. Riecks and Max Wiesmyer to China. They went to Shanghai and Dalian. Riecks made photos, this collection is also in the Benson Ford Center in Dearborn.
And here it ends. There is a run-up to a Japanese-Chinese war in these years. Reading about all these threads, I can only conclude that the situation to start a hugh car assembly project was completely unrealistic.
Shanghai Ford Motor Company.
I suppose Ford took the same decision. At the very least we haven’t heard from the assembly factory plans again.
Another thing: between the letters and telegrams in the Cowling file is a photo. It shows a car looking like the Ford Y Köln, also named the Ford ‘Volkswagen’. Was this the car Ford wanted to produce in China?
Also after the war, around 1949, it seems that there were new plans for a Ford assembly factory in China.
But it lasted till 2001 till Ford production started in China, in a joint-venture with Chang’an.
The “1930 Ford” from the Cowling file is in fact a 1934 Datsun Type 13 Sedan.
The Ford is a Koln, made in Germany between 1933 and 1936, and derived from the slightly earlier Y/Eight built in the UK. It is curious why it is referred to as a Volkswagen = people’s car. This was the period when the Germans wanted such a vehicle for the masses but it is surprising that such a fundamentally old design would be proposed for that project. The presence of the photo of a Datsun (in turn originally derived from the Austin 7) seems very odd given the hostilities between China and Japan at the time?
Many thanks, Gerd and Chris, for your comments. I am really surprised to read that the car on the photo is a Datsun. I wonder what the photo is doing (without comment) in the file. I can’t imagine that Cowling was showing a photo of a Japanese car to give a suggestion what Ford could make in China. And the file is from 1930-1932, the photo has been made later.
About the Volkswagen name: Hitler wanted a ‘volkswagen’ (people’s car) for the German people. The finally chosen car was called KdF-Wagen (Kraft durch Freude, ‘Strength through Joy’, was a state-operated leasure organisation, providing affordable leasure for the German people. Concerts, plays, libraries, holidays. KdF built large holiday houses at the East Sea. The car project was: producing a KdF-Wagen for 1000 Reichsmark, people could save for a car with stamps.) It seems that the German Ford division was also interested in participating in the competition, but it was Porsche’s design that was chosen. I agree the Ford Köln was already… Read more »
I’m not into which model where, but will check a couple histories I have (I read Japanese, and much more slowly Chinese). Nissan moved its operations to Manchuria during the 1930s, but I don’t recall the timing. Michael Cusumano may cover that in his history, which I also have.
Thanks Michael. I wrote before about the activities of the Japanese truck factories during WWII in China: https://chinacarhistory.com/2020/06/20/japanese-trucks-made-in-china-before-and-during-the-second-chinese-japanese-war/.