Ford has announced further reductions in production of large SUVs and pick-ups
20 June 2008

Ford has announced that it is further reducing production of large SUVs and pick up trucks at its American plants as demand dwindles in the face of soaring fuel prices.GM has also admitted that it will be extending the production life of its “full-size” pick-up and SUV platform, and it is also seriously considering the future of the Hummer brand.Ford will delay the introduction of the revised 2009 F-150 to ensure it doesn’t become overwhelmed by stocks of the unsold current version. Company bosses in the US have also confirmed that more European models will be brought to America, potentially good news for plants and workers on this side of the Atlantic.America will be getting the next generation Fiesta - and Ford CEO Alan Mulally has confirmed that four- and five-door versions of the current European Ford Focus will be produced in the USA from 2010 with direct injection petrol engines.Both Ford and GM are struggling to reduce their cost base in the face of sliding sales and collapsing consumer confidence. Ford is planning to produce just 475,000 vehicles in the US in the third quarter this year, 25 per cent less than the same period last year. The company has also said that its 2008 financial results will be worse than 2007’s. GM has also announced today that over 18,500 of its hourly-paid American employees have applied for early retirement.

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