This story seems incredible to me - Ford is planning to sell just two cars in America. The Mustang and the Focus make the cut, and the Focus will be manufactured in China. All the others - Fiesta, Fusion, Taurus - bye bye.
I suppose I shouldn't be shocked with SUV and truck sales the way they are, but still!
I saw that too, I work at Ford and I can believe it, in service 80% of all the vehicles that come in are mall crawler f150s or explorers
And not even the normal Focus, but a funky Focus hatch / crossover thing.
Interesting! I wonder if this has something to do with ridesharing or autonomous vehicles?
It's really depressing. Makes upcoming retirement even more meaningful.
Enyar said:Interesting! I wonder if this has something to do with ridesharing or autonomous vehicles?
Only if people really believe that ridesharing and autonomous vehicles will result in 2/3 of the working population to lose their jobs. People are still going to need to get to work all at the same time, just like now.
I am dubious about the accuracy of that article.
At least until gas goes back up to $4 a gallon.
R&T suggests Ford will stop selling the Focus too. They spoke to a Ford spokes person, so I'd be surprised if this is not legitimate. https://www.roadandtrack.com/new-cars/future-cars/a20066196/ford-killing-focus-fiesta-north-america-2022/
It makes sense in a way, but on the flip side, how does Ford not turn a profit on the Fusion? They sell a ton of them.
In reply to Snrub :
Yeah, the info comes from an earnings conference call. Mustang and Focus Active (small crossover) will survive. All other cars get the axe.
If true, would seem like a bad business plan. What if gas prices suddenly spike due to another middle east war (Iran JCOPA, anyone?) or something? Ford would be left with only the two cars certified for US sale (crash tests, etc)?
noddaz said:At least until gas goes back up to $4 a gallon.
Q: What's the difference between making a new hybrid car and bringing back a muscle car?
A: About $2/gal.
I was aware this info came from the earnings call, but my point was that additionally R&T flushed out/confirmed specifics.
Regarding the fuel cost thing - If the Focus Active will be sold in the US, presumably it would be trivial to start selling the regular Focus again in the future. Perhaps with the Fusion they'll just adapt it if needed, or build it US compliant from the beginning.
Even with high fuel costs, I don't think it ever made sense for so many manufacturers to sell b-class cars in the US. There simply isn't enough natural demand and the profit margins are too small.
I read this about a month ago in regards to Lincoln. They mentioned that all Lincoln sedans would be phased out and new Lincoln SUVs would be coming, in addition to all shared Ford platforms being canceled. If you believe the article, all sedans sales in the US are flat or shrinking except the Germans.
Will Lincoln still sell mid to large cars? Or are they going to just go SUV as well?
I presume they are speaking of the American market, because I doubt the Brits will be all driving Navigators soon. Therefore, all they would need to do to bring cars back into USA is certify the European sedans they would still be building.
Huge call, didn't see that coming, to that extent anyway.
Chevy Cruze assembly plant was cut down to one shift due to slow sales, gotta wonder if it'll be on the chopping block.
Interesting times we live in.
I'm a little surprised about the Fusion honestly. I see an awful lot of them driving around.
racerdave600 said:I read this about a month ago in regards to Lincoln. They mentioned that all Lincoln sedans would be phased out and new Lincoln SUVs would be coming, in addition to all shared Ford platforms being canceled. If you believe the article, all sedans sales in the US are flat or shrinking except the Germans.
In the C/D sedan segment, everyone is seeing lower sales.
Except Toyota, who seems to be really taking over the entire market with the Camry. 40mpg in a big sedan does actually mean something. And IS something we can all do, and it sucks that we are deciding that we don't want to compete. Sucks bad.
For everyone who doubts this, it is literally spelled out in Ford's earnings report:
Building a winning portfolio and focusing on products and markets where Ford can win. For example, by 2020, almost 90 percent of the Ford portfolio in North America will be trucks, utilities and commercial vehicles. Given declining consumer demand and product profitability, the company will not invest in next generations of traditional Ford sedans for North America. Over the next few years, the Ford car portfolio in North America will transition to two vehicles – the best-selling Mustang and the all-new Focus Active crossover coming out next year. The company is also exploring new “white space” vehicle silhouettes that combine the best attributes of cars and utilities, such as higher ride height, space and versatility.
I have to think these turbo engines must cost the manufacturer an extra $1k or so in costs per vehicle. Factor in the reliability issues many seem to be experiencing (warranty claims) and it's more. In Ford's case they had issues with the 1.6L which was in the Fusion. Also consider that Ford decided to manufacture a bunch of different engines for each car, which had additional development costs and losses in economy of scale. In Toyota's case they stayed naturally aspirated and had fewer designs. I have to imagine they were more profitable as a result. They were able to get big EPA numbers by refining what they had, rather than spending money downsizing and adding turbos.
In reply to Erich :
I hate to say this but I saw that coming. The overhead at Ford GM is too high which is why the last three decades they’ve lost money and sales.
No company can rest on its laurels and that’s what they’ve been doing.
If you go back 15 years ago, Ford and GM produced products that for the most part were in no way comparable to say Toyota/Honda. Quality, styling, fuel economy, suspension, reliability, fit and finish all lagged significantly. IMO, at that time there was no reason for their continued existence. ~2005 Ford made a big effort to improve their products and I believe they were successful. They might not have all been segment leaders, but a rational person could decide to purchase them new without massive price incentives. By in large they have produced decent products ever since. GM improved a lot after the bankruptcy, although some of the seeds had been sown prior. GM's products now have handling competency as a key part of their identity. They've done some remarkable things on the electric and enthusiast stuff. They lowered their (internal) costs considerably too.
I am sad about this. Trucks, SUVs and crossovers certainly have their places, but nothing tall will ever handle as well or be as fuel efficient as something lower to the ground with less frontal area. Having said that, they must have a plan in place for CAFE, whether that's more hybrids, BEVs, or whatever. Because Focus and Fiesta were carrying the company when it came to meeting CAFE.
You'll need to log in to post.
