What would Henry think? Ford is about to almost abandon American sedans

27 April, 2018, 00:58 | Author: Teresa Adams
  • 2018 Ford Mustang facelift

What does it mean?

That leaves the newly released EcoSport and coming Focus Active to vie as Ford's most fuel-efficient models sold without a plug.

Ford will cut $5 billion from capital spending from 2019 to 2022, reducing it from $34 billion to $29 billion. "Over the next few years, the Ford auto portfolio in North America will transition to two vehicles - the best-selling Mustang and the all-new Focus Active crossover coming out next year".

Ford could also exit or restructure low-performing areas of its business, Hackett said. "We're going to feed the healthy parts of our business and deal decisively with the parts that destroy value", he said.

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Yes, we understand the announcement that Ford is drastically shrinking its range in America won't seem of paramount importance to enthusiasts in the UK.

Europe was the only other region where Ford was profitable - a $149-million pretax profit.

As for dealing "decisively" with unprofitable parts of the company, CFO Bob Shanks said small cars and "most Lincoln products" are among those losing money - does it make sense to continue with, say, the Lincoln Continental when there is no Taurus/Fusion with which to share costs?

Ford did not give a timetable for the transition, saying only that it would take place "over the next few years".

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Ford Motor Co. reported a $1.7 billion profit for the first quarter of 2018, but the company says it's planning big changes - such as phasing out all cars except for the Mustang and a crossover vehicle in the North American market, so it can focus on SUVs and trucks. We have no idea what this variant will feature since it hasn't been formally announced yet. They are abandoning the traditional sedan market and according to them it's because consumers just don't want them anymore.

Ford said its net income in the quarter was up almost 9.5%, to US$1.74bn, or US$0.43 a share, from US$1.59bn, or US$0.40 a share.

Ford announced Wednesday that it would be no longer be selling passenger cars in the United States and Canada, with the exception of the Mustang and the Ford Focus Active. And buyers consistently point to a crossover's higher vantage point as beneficial.

Joe Hinrichs, president of global operations, said Ford plans to build a new product its Hermosillo plant in Mexico when it quits production of the Fusion sedan, and will also build a new battery electric vehicle in Mexico. Ford cutting cars by 2022.

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