Auto News For April 26- Ford to exit almost all of the car biz

Here is the official announcement from Ford about its future product:

“Building a winning portfolio and focusing on products and markets where Ford can win. For example, by 2020, almost 90 percent of the Ford portfolio in North America will be trucks, utilities and commercial vehicles. Given declining consumer demand and product profitability, the company will not invest in next generations of traditional Ford sedans for North America. Over the next few years, the Ford car portfolio in North America will transition to two vehicles – the best-selling Mustang and the all-new Focus Active crossover coming out next year. The company is also exploring new “white space” vehicle silhouettes that combine the best attributes of cars and utilities, such as higher ride height, space and versatility.”

“Making a full commitment to new propulsion choices, including adding hybrid-electric powertrains to high-volume, profitable vehicles like the F-150, Mustang, Explorer, Escape and Bronco. The company’s battery electric vehicle rollout starts in 2020 with a performance utility, and it will bring 16 battery-electric vehicles to market by 2022.”

Going away will be the Taurus, Fiesta, Fusion, C-Max, and Focus sedan in a radical redesign of the Blue Oval’s offerings. The Detroit News reported that the new Focus will appear in the U.S. next year and be imported from China.

The company goal is to cut operating costs by $22.5 by the year 2022 and capital spending by $5 billion from 2019 to 2022.

Many of the cuts will come from sales and marketing officials said. Ford’s chief financial officer said the company is considering selling or exiting operations in Europe and South Africa.

While the auto fleet will be drastically reduced Ford plans to introduce five new SUV’s over the next two years, along with the already announced Ranger pickup.

Analysts told the Detroit News that Ford’s move in the auto market makes sense given where the market is. Another said Ford realized that it no longer can be all things to all people.

The lone survivor among the current automobile offerings is pictured.

We shall return with more news later this morning when GM announces earnings.

 

 

 

 

 

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