Ford to Eliminate All but Two Car Models in North America
Ford Motor Co. says it will drop almost all its conventional car models in Canada, Mexico and the U.S. over the next four years as it shifts to far more popular pickup trucks and SUV/crossover vehicles.
Ford Motor Co. says it will drop almost all its conventional car models in Canada, Mexico and the U.S. over the next four years as it shifts to far more popular pickup trucks and SUV/crossover vehicles.
The company says it will retain only two traditional cars in North America: the Focus Active (a crossover-like variant of the Focus small sedan) and the iconic Mustang sport coupe.
Ford brand models to be axed in the region are the Fiesta supermini, hybrid C-Max midsize multipurpose vehicle, Fusion midsize sedan and Taurus large sedan.
CEO Jim Hackett says the dramatic move reflects Ford’s new resolve to examine every operation in terms of its ability to deliver long-term profits. The company aims to invest in operations that are growing and either revive or drop those that aren’t.
Chief Financial Officer Robert Shanks adds that lackluster functions could be resuscitated through downsizing, efficiency gains and/or new business models. But if those options don’t appear promising, he says, Ford will shut down operations or sell them off.
Shanks describes Ford’s Lincoln luxury brand an underperformer. Last year the marque’s sales in the U.S. dipped 1% to 111,200 units. Deliveries in the first quarter fell 17%, dragged down by sharp declines in all models except the revamped Navigator large SUV. But Shanks insists the marque is not in jeopardy.