Ford Cautious About Indigenous Brand for China

Ford Motor Co. said in April it is considering creating a new brand for the Chinese market. But the U.S. company insists that its "total focus" remains on the Ford marque, Reuters reports.

David Schoch, CEO of Ford operations in China, confirms that the company is discussing an indigenous brand with its Chinese joint venture partners. Ford makes cars with Chongqing Changan Automobiles Co. and commercial vehicles with Jiangling Motors Corp.

A China-only make would allow Ford to sell low-priced models without tarnishing its namesake brand. The Chinese government also is urging ventures to create local marques to strengthen the domestic auto industry. But Ford, a late arrival in the market, is still building recognition for its own brand.

Other foreign carmakers have introduced China-only brands in the past year, including General Motors' Baojun and Nissan's Venucia. Daimler, Honda, Kia, Suzuki and Volvo are planning to roll out local marques.