Ford's Audacious Plan to Save $25 Billion: Cut Every Car Except These Two Models

[jglevyjr]

Ford, like most other car manufacturers, are investing heavily in autonomous, totally electric, vehicles.

https://www.theverge.com/2018/2/27/17055616/ford-self-driving-car-miami-test-av

 

[Areoflyer09]

https://jalopnik.com/ford-focus-production-to-end-next-month-focus-active-w-1825583291

Focus ends this month
Fiesta/Taurus end next spring
Fusion is still open ended for end date

The only real losses here are the two ST models, given the RS was a limited production model anyways. Big loss to the hot hatches from those two. Upside is the discounts on them are already showing up, so I you want one now is the time.


From the intial look, it seems like an odd move. Looking at the March sales numbers though, sedans aren’t doing well. If you can make more on SUVs/Trucks than you can on he sedans, why not let that market go and focus on where you earn? Hopefully, Ford has a plan to get the MPGs up so if gas prices take a hike it doesn’t screw over the consumer for having a gas hog.

#s from Good Car Bad Car for March & just the US

Fusion: 16103
Focus: 16137
Fiesta: 4964
Taurus: 3154

Total for those 4: 40,358
Total Fords: 233,669

The 4 models accounted for 17.3%, none of the 4 were more than 8%. The Focus Active will add some of the sales back in for some people (I wouldn’t buy one, it looks like a fish). So some of that 17% could be retained. The question will be will increased capacity from the open plants moving to trucks & SUVs, offset the sales loss from the cars?

 

[jgressley2003]

I can understand cutting back on models, but don't understand why they are cutting out both the Fusion and Taurus? Seems like it would be smart to keep one in production.

 

[Kutnupe14]

I can understand cutting back on models, but don't understand why they are cutting out both the Fusion and Taurus? Seems like it would be smart to keep one in production.

Well they did specify "US production," so they may still be made overseas, and imported. Obviously Ford is going to keep an international presence, and I doubt that Trucks, SUVs, and Mustangs are quite the profitable market outside North America.

 

[Route 45]

I can understand cutting back on models, but don't understand why they are cutting out both the Fusion and Taurus? Seems like it would be smart to keep one in production.

I can see keeping the Fusion. But the Taurus certainly deserves to be DOA. They redesigned it in 2010 and haven't really messed with it much since. It's overly large while being cramped inside (for its size).

Even with the Fusion being a generally pretty good car, it doesn't compete well with the Camry and Accord. And even the 2018 Accord, which by all reviews is an excellent car, is not selling very well. Not many people want a sedan when you can get all of the space, better comfort, available AWD and comparable gas mileage in an SUV or crossover.

 

[rw02kr43]

I'm sad to see them go this route. But I'll never buy another ford again. I have a Fiesta with the 1L DI turbo. I had to have the turbo replaced at 50k. I've had complete loss of oil twice. And I'm on my second engine now after a 3 month wait for a new one. The vents only blow on defrost and the fit and finish is pathetic. My wife's honda fit is well over 200k and running as good as ever.

Jason

 

[Route 45]

Hopefully, Ford has a plan to get the MPGs up so if gas prices take a hike it doesn’t screw over the consumer for having a gas hog.

My only complaint on my 2017 Escape 2.0 Ecoboost is the gas mileage. I do a lot of highway driving and get, at best, 24 mpg. I've gotten as low as 19 mpg on a tank with mostly city driving. I bought it for the power and traditional transmission, though, so I knew what I was getting. It's got a lot better handling than the competitors and will smoke them with its 245 HP. I know I'm a minority in putting power and performance over gas mileage, though, so Ford better figure out a way to make their Ecoboost engines a little more "eco" than "boost." A Honda CRV stomps all over the Escape in gas mileage, but with the puny 1.5 engine and CVT, it drives like the Cleverly Restyled Van that it really is. (CRV...get it?)

 

[Route 45]

I'm sad to see them go this route. But I'll never buy another ford again. I have a Fiesta with the 1L DI turbo. I had to have the turbo replaced at 50k. I've had complete loss of oil twice. And I'm on my second engine now after a 3 month wait for a new one. The vents only blow on defrost and the fit and finish is pathetic. My wife's honda fit is well over 200k and running as good as ever.

Jason

I've had pretty good luck with Fords over the years. I've never kept one past 100,000 miles, though. I had a 2015 Edge that served me well, but it was just a 3 year lease. We'll see how my new Escape holds up, it's my first vehicle with a DI turbo engine. I'll put Techron in it every 5000 miles, that is supposed to really help keep DI/Turbo engines running well. I will tell you that I'd much rather have a good V6 in this little Escape, but it looks most of the manufacturers are wetting themselves for these turbo 4 bangers.

 

[Itchytriggerfinger]

I will tell you that I'd much rather have a good V6 in this little Escape

My old man is a television repairman, he's got this ultimate set of tools. Let me know.

 

[Route 45]

My old man is a television repairman, he's got this ultimate set of tools. Let me know.

You can't fix this car, Spicoli.

 

[Itchytriggerfinger]

You can't fix this car, Spicoli.

Let's put a 3.5 Ecoboost in that Escape!

 

[Route 45]

Let's put a 3.5 Ecoboost in that Escape!

Sure we can't cram the Coyote 5.0 in it?

 

[rhino]

So if Ford only sells pickup trucks and one SUV, that means they'll have nothing that most people can afford buy new (unless the SUV is cheap).

 

[Itchytriggerfinger]

Sure we can't cram the Coyote 5.0 in it?

You're only limited by your imagination and your budget but let's be honest, your neighbors still need to think you care about fuel economy.

 

[Route 45]

So if Ford only sells pickup trucks and one SUV, that means they'll have nothing that most people can afford buy new (unless the SUV is cheap).

Judging by truck and SUV sales figures, I think that there are plenty of people that can afford to buy or lease new ones. And I'm not sure where you are getting one SUV from. Expedition, Explorer, Edge, Escape, EcoSport. Unless you don't consider "crossovers" to be SUVs. I think the term is more or less interchangeable. They are also still making the Flex until 2020, and the new Bronco is on the way.

 

[BehindBlueI's]

...I doubt that Trucks, SUVs, and Mustangs are quite the profitable market outside North America.

Mustangs are. Ford sells roughly 40k Mustangs a year outside the US and is expanding into more countries each year. China, Germany, and England alone account for roughly 1/4 of all Mustangs sold annually.

The foreign markets are quite profitable, as they sell at an average price of about twice what a Mustang sells for in the US. Ford doesn't sell base models in Europe and positions itself to compete against cars like Porsche 911 (which it outsells in Germany...), so starting price is north of $50k for European buyers.

When I was in Qatar, there was a huge marketing campaign for Mustangs, you'd see commercials and billboards everywhere. It was a well done advertisement as well, showing an Arab boy playing with a Hot Wheels Mustang and then him grown up driving a new one. I saw quite a few Mustangs on the road after that.

 

[Itchytriggerfinger]

Bronco....

 

[Kutnupe14]

Mustangs are. Ford sells roughly 40k Mustangs a year outside the US and is expanding into more countries each year. China, Germany, and England alone account for roughly 1/4 of all Mustangs sold annually.

The foreign markets are quite profitable, as they sell at an average price of about twice what a Mustang sells for in the US. Ford doesn't sell base models in Europe and positions itself to compete against cars like Porsche 911 (which it outsells in Germany...), so starting price is north of $50k for European buyers.

When I was in Qatar, there was a huge marketing campaign for Mustangs, you'd see commercials and billboards everywhere. It was a well done advertisement as well, showing an Arab boy playing with a Hot Wheels Mustang and then him grown up driving a new one. I saw quite a few Mustangs on the road after that.

I stand corrected.

 

[FWP9MM]

Good luck to them, but I think a lot is going to hinge on fuel efficiency, gas prices and how greedy they are going to be on profit margins. Gas prices hit 2.99 per gallon today in my area, if prices hit $3.50+ for a period of time I can see it effect people's decisions on that they drive.

 

[Tactically Fat]

So if Ford only sells pickup trucks and one SUV, that means they'll have nothing that most people can afford buy new (unless the SUV is cheap).

Eh, as you know (or can at least surmise), most folks who buy brand new vehicles can't really afford them anyhow. Affording the payments month-to-month isn't the same thing as being able to afford the purchase. Auto manufacturers/dealers are banking, literally, on the debt load of millions upon millions of people.

Personally, I'm a sedan kind of guy. Can get a good 1-year old sedan for HALF of what a new small SUV costs. The last few years have been a boon for sedan buyers. Generally Over-stocked and underappreciated in today's SUV-centric market can mean great values/deals to be had in the sedan market. HOWEVER, I sense that since the sedan market overall is shrinking that means that availability in different makes/models will be coming down - especially in the mid-sized market. And that means that willingness to "deal" may start coming down as inventory comes down to meet the lowering demand. It's cyclical in nature.

yes, I WANT an SUV. But for the $, I'd absolutely LOVE to have a new Camry or Accord (2.0 Turbo Sport with the 10-spd, please)