Ford Is ‘Transitioning’ to Just 2 Car Models

It upped its five-year cost-cutting goal to $25.5 billion (Ford reports earnings in US dollars), from the $14 billion projected by CEO Jim Hackett in October.

Ford also confirmed plans to launch the all-new Focus Active in North America next year.

We already know about the project, which is supposed to come out in 2020. The latest Focus will be imported from China.

Ford, backing up its promise to double-down on trucks and SUVs, is killing the Fiesta subcompact, Fusion midsize sedan and Taurus large sedan, it announced Wednesday. The news follows the posting of first quarter results that showed a swing to profit after a loss in the same quarter previous year; revenue was also up 7%. There will be hybrids or plug-in hybrid versions of just about everything in the vehicle lineup including the F-150 pickup. Among those will be 16 battery-only models, including the Mach 1, a high-performance electric SUV coming in 2020.

So far in 2018, Ford said, the rise in its net income is “more than explained by a lower tax rate”. Fiat Chrysler did away with the Dodge Dart and Chrysler 200 more than a year ago. The full plan may not be revealed until September. The company previously predicted $14 billion in cuts by 2022.

Shanks said the company will cut $5 billion from capital spending from 2019 to 2022, reducing it from $34 billion to $29 billion. “Ford’s business decision does make sense, given the decades-long trend of trucks, especially Ford’s own F-Series line, outselling traditional cars in the US”, writes Mike Murphy for Quartz.

Just two years from now, a mere 10 percent of the vehicles rolling off Ford assembly lines and into North American showrooms will be sedans and sports cars like the Taurus or Mustang.

Following the announcement of their first quarter sales figures, Ford said that they are shifting their attention to SUVs (which includes crossovers) and pickup trucks.

The company’s stock was up 2.16 percent at $11.35 in after-hours trading. It also plans to bring a smaller, rugged SUV to market.

During development of the EcoBoost-equipped Mustang, the engineers at Ford Motor Company looked to design acoustic exhaust sounds that excite the senses and deliver a note of performance.

While we’re eagerly waiting to see the massive scoops of the GT500 monster, it’s likely that the hybrid will also suffer cosmetic changes reflecting its new-found green attitude.