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Guest Message by DevFuse

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Focus Active Canceled!


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#1 OFFLINE   Assimilator

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Posted 31 August 2018 - 10:05 AM

Ford has pulled the plug on the US Focus Active because of tariffs.

 

 

 

 

DEARBORN – In light of the negative financial impact of new tariffs on vehicles imported from China, Ford will not be bringing the Focus Active crossover to North America.

Despite the change, Ford remains committed to growing its product lineup – including introducing all-new trucks, utilities, hybrids and fully electric vehicles – and returning operating margins to 10 percent in North America.

Ford’s future North American lineup will better deliver the attributes consumers indicate they value most – including higher ride height, more space, greater versatility and improved fuel economy ratings. 

In 2019, the all-new Ford Ranger returns to the midsize truck segment and a new F-Series Super Duty debuts. New performance models are on the way for Ford Edge and Explorer, and off-road SUVs – like the upcoming Ford Bronco – will play a prominent role.

An all-in push on hybrid-electrics will bring new capability and features to customers of high-volume, profitable vehicles like Ford F-150, Mustang, Explorer and Escape.

By 2020, Ford will have replaced more than 75 percent of its current portfolio. By 2023, the company will have more nameplates in the U.S. than it does today.

Five all-new flexible vehicle architectures will help reduce engineering time and development costs, while supporting distinct vehicles and silhouettes for distinct customers. Cross-architecture modules will help further reduce component costs and improve quality and reuse – from sunroofs to steering columns.

In addition, Ford Motor Company continues to employ more U.S. hourly workers and build more vehicles in the United States than any other automaker, plus it is the No. 1 exporter of vehicles from the United States.

Edited by Assimilator, 31 August 2018 - 10:28 AM.








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#2 OFFLINE   jcartwright99

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Posted 31 August 2018 - 10:14 AM

Ford has pulled the plug on the US Focus Active because of tariffs.

 

 

 

Source?


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#3 OFFLINE   fuzzymoomoo

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Posted 31 August 2018 - 10:15 AM

If this is true its more egg on Jim Hacketts face
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#4 OFFLINE   jcartwright99

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Posted 31 August 2018 - 10:19 AM

If this is true its more egg on Jim Hacketts face

 

How? This has captain Cheetos dirty finger prints all over it. Would it make sense for them to bring it here and not make money on it thanks to tariffs?


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#5 OFFLINE   fuzzymoomoo

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Posted 31 August 2018 - 10:25 AM

 
How? This has captain Cheetos dirty finger prints all over it. Would it make sense for them to bring it here and not make money on it thanks to tariffs?

Because it was ultimately Hacketts call to import it from there knowing that addressing the trade deficit with China was something that trump hit HARD during his campaign.
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#6 OFFLINE   twintornados

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Posted 31 August 2018 - 10:31 AM

 

Source?

.

Why bother with citing a source? This is the Trump era....just make bold proclamations and leave it at that...


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A government big enough to give you everything you want is a government big enough to take from you everything you have. ~ Gerald Ford - August 12, 1974

#7 OFFLINE   Assimilator

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Posted 31 August 2018 - 10:37 AM

It was announced internally, they still are issuing the press release.  Hang tight, I've posted it above.  



#8 OFFLINE   Anthony

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Posted 31 August 2018 - 10:40 AM

Story:  https://www.freep.co...ina/1156427002/



#9 OFFLINE   jcartwright99

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Posted 31 August 2018 - 10:46 AM

They just got hammered on CNBC.  A "company that doesn't know what direction they are going." 

 

The fact is (not to bring politics into this) Trump, hurting US companies right now. Ford is just the next in line to take the punishment. Is GM going to stop importing Chinese built cars? I am all for making high margin autos and getting out of things that don't make sense (money). In the end, this may benefit US companies but right now there some that are in the cross hairs because of Trump. This just adds to their stupid PR of saying no more cars. Fire everyone in PR, they have been next to useless for at least 5 years.


Edited by jcartwright99, 31 August 2018 - 10:50 AM.

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#10 OFFLINE   Kev-Mo

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Posted 31 August 2018 - 10:47 AM

Because it was ultimately Hacketts call to import it from there knowing that addressing the trade deficit with China was something that trump hit HARD during his campaign.

 

I'm with POTUS on this one and no apologies.  The trade deficit must be addressed.  The big picture is far more important than Ford's mistakes.  The Chinese are not our friends.  The Japanese and Koreans build and sell smaller vehicles in the USA.  Chevy builds and sells smaller vehicles in the USA.  It looks bad that Ford can't figure out how to design and present a smaller vehicle that people will want in enough volume that will allow it to be sold at a profit in the USA.


Edited by Kev-Mo, 31 August 2018 - 10:51 AM.

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#11 OFFLINE   Kev-Mo

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Posted 31 August 2018 - 10:49 AM

They just got hammered on CNBC.  A "company that doesn't know what direction they are going."

And they deserve to be hammered - it's embarrassing!   Maybe Ford can contract Hyundai to build a smaller vehicle in the USA and badge it for them.


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#12 OFFLINE   fuzzymoomoo

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Posted 31 August 2018 - 11:01 AM

 
I'm with POTUS on this one and no apologies.  The trade deficit must be addressed.  The big picture is far more important than Ford's mistakes.  The Chinese are not our friends.  The Japanese and Koreans build and sell smaller vehicles in the USA.  Chevy builds and sells smaller vehicles in the USA.  It looks bad that Ford can't figure out how to design and present a smaller vehicle that people will want in enough volume that will allow it to be sold at a profit in the USA.

I happen to agree with you but youre missing my point.

Hackett still made the decision to build the car there and importing it, knowing full well the tariffs were a possibility, even though at the time nobody really knew if Trump would actually follow through with it or not.
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#13 OFFLINE   fordmantpw

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Posted 31 August 2018 - 11:08 AM

I thought importing from China was only temporary until another plant (don't remember which country) was ready?


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#14 OFFLINE   jcartwright99

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Posted 31 August 2018 - 11:13 AM

I happen to agree with you but youre missing my point.

Hackett still made the decision to build the car there and importing it, knowing full well the tariffs were a possibility, even though at the time nobody really knew if Trump would actually follow through with it or not.

 

Fuzzy, you're sounding too jaded on this one. Look, I get that you don't like Hackett. I just don't think you can put this one squarely on him. I agree that things need to be done about the deficit but don't agree on Trump's way about going about things. Trump is a loose cannon right now, whether his intentions are for the right reason or not, he's hurting US companies. HD and Ford are not both feeling the pain.  In my mind, Hackett is damned if does or damned if doesn't. What if tariffs go away in a few months, they'll be able to import again. One thing is for certain though, I would much rather have Hackett do this than continue to import and lose money on every one just to save face.


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#15 OFFLINE   fuzzymoomoo

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Posted 31 August 2018 - 11:19 AM

Harley Davidson did it to themselves by steadfastly refusing to try and draw in a younger clientele. They have been in trouble long before even the Obama administration.
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#16 OFFLINE   Assimilator

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Posted 31 August 2018 - 11:20 AM

Managing resources and capacity is very complicated.  Importing Focus Active wasn't about making it cheaper in China (it's not cheaper), it was about efficiently utilizing their manufacturing footprint for a lower volume product.  Ford was trying to maintain some level of product diversity despite lower and lower volumes for those products, especially cars.  But unfortunately politics got in the way.

 

Ford will adapt, it's just a terrible time for this to be happening for them.  We still have to see how NAFTA unfolds, right now it also looks like they are going to be constrained on Mexican production which further reduces their cost efficiencies for low margin products.  Ford might be smart in getting out of lower margin higher volume products in the US.  They've already moved most of their US/Canadian production away from low margin products.

 

Either way, the Trump administration is certainly making Ford's turn around strategy much harder to predict which is oddly not appreciated or acknowledged by Wallstreet.  Ford has to figure out how to minimize risk from uncertain politics, they are particularly vulnerable right now.  


Edited by Assimilator, 31 August 2018 - 11:34 AM.

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#17 OFFLINE   jcartwright99

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Posted 31 August 2018 - 11:24 AM

Harley Davidson did it to themselves by steadfastly refusing to try and draw in a younger clientele. They have been in trouble long before even the Obama administration.

 

While I agree with that, the trade war is making a treading water situation much worse. If they close WI production and start production in another country to survive, who gets screwed. The American worker, that's who.


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#18 OFFLINE   jcartwright99

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Posted 31 August 2018 - 11:25 AM

Managing resources and capacity is very complicated.  Importing Focus Active wasn't about making it cheaper in China (it's not cheaper), it was about efficiently utilizing their manufacturing footprint for a lower volume product.  Ford was trying to maintain some level of product diversity despite lower and lower volumes for those products, especially cars.  But unfortunately politics got in the way.  

 

Yes, and no. It was cheaper than producing the same vehicle in NA. 


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#19 OFFLINE   fuzzymoomoo

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Posted 31 August 2018 - 11:26 AM

If expected volume was really only 50k a year why was it such a problem they HAD to move it from Mexico? Its Hackett and his 6 month revolving door of new plans. Sorry jcartwright. I know Im jaded but this wouldnt be necessary if the plan didnt keep changing every 6 goddamn months.
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#20 OFFLINE   fuzzymoomoo

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Posted 31 August 2018 - 11:33 AM

 
While I agree with that, the trade war is making a treading water situation much worse. If they close WI production and start production in another country to survive, who gets screwed. The American worker, that's who.

A. Theyre still building in another American plant. I cant remember where, its either Kansas City or New Jersey. B. That Europe plant is for the Europe market

While no doubt the tariffs expedited that decision I firmly believe that with as bad of shape as that company is in that would have had to happen eventually anyway.
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