Blue Oval focuses on strongest-selling models and electrification

Ford will drop the Fiesta hatchback and Fusion saloon (the American version of the Mondeo) from its US line-up by 2020.

The brand will also axe its larger Taurus saloon, meaning the only cars Ford will sell in its home market from the next decade will be the Mustang (below) and upcoming Focus Active crossover.

Ford's remaining US range will be SUVs and pick-ups, although it might introduce new ‘white paper’ vehicles that the brand describes as combining “the best attributes of cars and utilities, such as higher ride height, space and versatility”.

The changes come amid shifting consumer demand, which has seen sales of SUV models grow and demand for saloons falter.

“We are committed to taking the appropriate actions to drive profitable growth and maximise the returns of our business over the long term,” said Ford CEO Jim Hackett.

“Where we can raise the returns of underperforming parts of our business by making them more fit, we will. If appropriate returns are not on the horizon, we will shift that capital to where we can play and win.”

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Ford said in its 2018 first quarter statement that it would introduce hybrid-electric powertrains to “high-volume, profitable vehicles” such as the F-150 pick-up, Mustang and Explorer, Escape and Bronco SUVs. The company will bring its first battery electric model to market in 2020; a further 15 will follow by 2022.

The brand also highlighted autonomous technology and the creation of a mobility platform as key business opportunities it will invest in.

Ford said the changes will not require additional investment but will instead be enabled by freeing up $11.5 billion (about £10bn) from existing programmes. Ford now expects to spend $29bn (about £25.4bn) between 2019 and 2022; it says that is a $5bn (£4.4bn) reduction on previous estimates, thanks to cost-efficiency improvements.

The company recorded a 7% increase in revenue and a 9% increase in net income to $1.7bn in the first quarter. It boosted revenue by 18% across Europe.

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Comments
19

26 April 2018

Although I have to laugh, on the one hand they're removing their only EV from States, the EV Focus.

Then going onto say "...first battery electric model to market in 2020; a further 15 will follow by 2022." so it'll take another 2 years of RD to bring one car to the market (maybe) then they're be releasing a BEV every 7 weeks!!!  

I guess they mean Hybrid, if so 2 years before a market release is crazy!

typos1 - Just can’t respect opinion

26 April 2018

 BMW say 2020,Audi a year earlier, so it’s not just Ford that are taking there time bringing the tech to market, plus, by that time power sources should be more efficient, smaller, cost less, nobody is stealing a March on there competitors, they’re all Swans.....!

Peter Cavellini.

26 April 2018
Peter Cavellini wrote:

 BMW say 2020,Audi a year earlier, so it’s not just Ford that are taking there time bringing the tech to market, plus, by that time power sources should be more efficient, smaller, cost less, nobody is stealing a March on there competitors, they’re all Swans.....!

Peter, pretty please...

Their, There, They're.  If you are going to post here all the time please use the correct form.

Over there, their time, their competitors.  Well done on the last the one though, that's perfect use of they're.

Thank you and sorry for being a pedant.

26 April 2018

Good grammar rules!

27 April 2018

Hi there!, all the current posts are about the Car..........

Peter Cavellini.

26 April 2018

This is huge news.

For the first time ever, Ford USA will not sell a traditional passenger car.

The only Focus on sale will be a crossover, and the Mustang as a traditional coupe.

I'm reminded of what Nissan did in the early 2000s when it dropped Almera and Primera, many thought it was madness, but it worked out well for them. I've never owned a Nissan though as SUVs don't appeal.

26 April 2018

And their Pulsar further proved the point. Who was the Nissan executive who thought the success of their crossovers meant a totally bland hatchback was a good idea? 

27 April 2018
WallMeerkat wrote:

This is huge news.

For the first time ever, Ford USA will not sell a traditional passenger car.

I agree. It just goes to show how tastes change, and how car companies have to adapt. There is no point in building traditional passenger cars it you can't make a profit from them.

26 April 2018
Yep very true. SUV or nothing it seems. Car companies need to work on the S and U. That's where battery tech will come in.

26 April 2018

What a great shame. The traditional American sedan has evolved to a point of greatness (even the Fusion, which is not the best of its type, is very accomplished and great value), yet is now endangered. The SUV destroys everything.

 

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