Daily Management Review

Ford Reports Drop In Sale In China For March


04/13/2018




Despite the announcement of the U.S. car maker Ford Motor Co that it would launch two new car models in China – the largest auto market, at the end of the year, the company has again now done well in the market primarily because of a shortage of fresh products.
 
Fords has bene struggling to boost sales in China but has been unsuccessful. The car maker reported a drop of 11 per cent in sale in the market in March compared to the figure in the same period a year ago.
 
With a sale volume of 83,666 vehicles, the Michigan-based automaker had noted a drop in sale of 30 per cent year-on-year in February. The company also reported a fall of 19 per cent in the sale volume for the first quarter – totaling 207,139 vehicles, compared to the same period a year ago.
 
Following a week long national holiday in China, there has been a strengthening of the vehicles market in march on the overall and it is amidst such a market that Ford continues to struggle in the market. The market noted a 4.7 per cent growth in the sale of vehicles compared to a year ago clocking a total of 2.66 million units, according to data by an industry body released earlier this week.
 
The China Association of Automobile Manufacturers (CAAM) said that there has been an uptick of 2.8 per cent in the sale of vehicles in the Chinese market in the first quarter of the compared to the same quarter last year.
 
However, the first quarter report from Ford clearly shows that it has not managed to be a par5t of the modest rise in the Chinese vehicles market.
 
According to Ford officials, the shortage of new or significantly redesigned cars models in its product offering would be the cause for a sluggish year for the company in the Chinese marke.t the company expects the situation to continue till the end of 2018 when it expects to launch two new models.
 
“This year will be a bit like going through a tunnel,” Peter Fleet, Ford’s head of Asia-Pacific operations, told Reuters earlier this year. “We have to get through 2018.”
 
The China business for Ford has been troubled by its joint venture with the Changan Automobile Group.in the month of March, there was a drop of 22 per cent year-on-year in the sales by Changan Ford Automobile with a total of 46,217 vehicles. At the same time, a drop of 26 per cent in the first quarter of the year with a total sale of 124,459 vehicles.
 
And despite a rise of 5 per cent year-on-year in the sale of Ford’s vans and other commercial vehicles by the company’s second joint venture with Jiangling Motor Corp (JMC), the first quarter sale dropped by 16 per cent.
 
The only bright spot for the company is perhaps the rise of 27 per cent in March and 10 percent year-on-year in the sales of Ford’s premium Lincoln brand.
 
“SUVs, commercial and luxury vehicles are key priorities of our strategy this year,” Fleet said in a statement on Friday.
 
(Source:www.reuters.com)






Science & Technology

Apple to come up with AR glasses

WEF: Big data regulation becomes a problem

Israeli Firm Accused Of Spying By WhatsApp, Lawsuit Filed Against It

Google Used Quantum Computer To Solve Complex Problem

Mars Had Earth-like Salt Lakes

Study: AI is not as profitable as you might think

Porsche, Boeing set to develop flying electric car

Samsung to invest $ 11 billion in new generation displays

US is betting on Nokia and Ericsson to replace Huawei

UPS becomes first to receive full regulatory approval for UAV shipping in USA

World Politics

World & Politics

Has Chile Put All Its Eggs In One Basket To Turn Towards Renewable Energy?

‘We Are Woefully Underprepared’ As Glaciers Meltdown Leaving Global Water Supply At Risk

US to reconsider medical data security laws

Vale hiding information about problems at Brazilian dams could result in death of 270 people

US Lawmakers Introduce Bill About Xinjiang Uygur Camps In China

European Council agrees to extend Brexit again

Pressure From China Forces Maserati To Dissociate From Film Awards Event In Taiwan

China to replace Hong Kong's Carrie Lam