Photo: Lincoln
If you haven’t heard that Ford will cut down the passenger-car lineup in the United States to two models, well, now you know. In the coming years, the Focus Active and Mustang will soldier on alongside an extensive lineup of crossovers and utility vehicles, ranging from the subcompact EcoSport to the full-size Expedition.
What does that mean? For starters, prepare to bid farewell to the Fiesta, C-Max, Fusion, and Taurus. Lincoln will be affected by the FoMoCo’s decision as well. The Continental is anticipated to be phased out after production of the facelift comes to an end, along with the MKZ mid-size sedan.
“We’re going to feed the healthy part of our business, and deal decisively with the parts that destroy value,” declared Jim Hackett, chief executive officer at the Ford Motor Company, at the April conference call. Chief financial officer Bob Shanks agrees with the head honcho, adding that “most Lincoln products” are “among value destroyers.” All options are “being considered.”
Cited by Automotive News, UBS analyst Colin Langan estimates that the Dearborn-based automaker loses in the ballpark of $800 million per year selling small cars in North America. If Ford plans to hit its target of finding $25.5 billion in cost savings by 2022, decisive action must be taken on many levels and segments.
You could say that Ford and Lincoln are late to the game considering that FCA discontinued the Chrysler 200 and Dodge Dart a couple of years ago over slow sales. But more importantly, FCA understood that it needs to churn out as many trucks and SUVs as possible as demand for these vehicles grows year over year in the United States. The Jeep pickup is no coincidence, you know.
General Motors, on the other hand, is being careful about it. In comparison to the two other greats from Detroit, the peeps at General Motors believe that passenger cars are still relevant in this part of the world. On the other hand, two such vehicles will have to go, those being the Sonic and Impala.
“We’re going to feed the healthy part of our business, and deal decisively with the parts that destroy value,” declared Jim Hackett, chief executive officer at the Ford Motor Company, at the April conference call. Chief financial officer Bob Shanks agrees with the head honcho, adding that “most Lincoln products” are “among value destroyers.” All options are “being considered.”
Cited by Automotive News, UBS analyst Colin Langan estimates that the Dearborn-based automaker loses in the ballpark of $800 million per year selling small cars in North America. If Ford plans to hit its target of finding $25.5 billion in cost savings by 2022, decisive action must be taken on many levels and segments.
You could say that Ford and Lincoln are late to the game considering that FCA discontinued the Chrysler 200 and Dodge Dart a couple of years ago over slow sales. But more importantly, FCA understood that it needs to churn out as many trucks and SUVs as possible as demand for these vehicles grows year over year in the United States. The Jeep pickup is no coincidence, you know.
General Motors, on the other hand, is being careful about it. In comparison to the two other greats from Detroit, the peeps at General Motors believe that passenger cars are still relevant in this part of the world. On the other hand, two such vehicles will have to go, those being the Sonic and Impala.
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