AutoBeta(AutoBeta.net)06/08 Report--

In the results of the first quarter of 2019, the major car companies can see that the overall performance is not optimistic. According to the statistics of IHS, the head of the US market research machine, global car sales fell 7%, and sales fell in the world's three major markets, the United States, China and Europe. In this environment, industrial transformation is imminent, Ford experienced the overall decline in global sales, the Chinese market is independent and upgraded to the same important global market as the United States.

Even so, Ford's sales in China after 2018 can only be described as dismal. Changan Ford sold only 377786 vehicles, down more than 50% from last year, and its sales were almost cut off. In the twinkling of an eye, Changan Ford sales still showed no sign of picking up in 2019, with sales of only 36800 vehicles in the first quarter of this year, down 71.79% from a year earlier.

Ford began layoffs and plant closures in 2018, and Volkswagen cut 7000 jobs in Germany after GM cut 15 per cent of its jobs worldwide. Ford has also begun a fourth round of layoffs, closing its engine plant in the UK after cutting unskilled jobs. And in September this year, it will cut 7000 jobs worldwide, accounting for 10% of its contract employees, according to Ford, which will reduce bureaucracy within the company, flatten the management structure and cut costs. Ford is undergoing an extensive restructuring, and the layoffs will save it $600 million a year.

"Ford is a family business and it is very sad to say goodbye to colleagues," Jim Hackett, Ford's chief executive, wrote in an email. We have abandoned the practice in some areas in the past, where laid-off team members must pack up and leave immediately. But now, employees can choose to stay for a few days to finish their work and say goodbye to their colleagues. " Ford has been laying off jobs since November last year, but has refused to give details, claiming that the layoffs were "well thought out."

Since current CEO Hankate took office, Ford has spent $11 billion on a global restructuring plan. To improve its so-called health. The plan includes layoffs and cuts in all loss-making, low-profit models, including cars. The sale of Mondeo sports models has been suspended in North America; Ford's Mondeo models in Europe will be withdrawn from the market and close their factories in the UK. After 2020, the Mondeo model will become a special model in China. In addition, Ford announced a $22.5 billion cost-cutting plan in 2018 to achieve a global profit of 8 per cent in 2020.

In 2001, Ford entered the Chinese market, established a joint venture with Changan Ford and successively introduced Carnival, Fox, Wing Tiger and other products. With the continuous expansion of the product lineup, the product line continues to emerge and Ford plays an important role in China. In 2016, Changan Ford, a joint venture in China, recorded sales of 1.27 million vehicles. Ford has the best sales record in China, while Changan Ford has sold 957000 vehicles.

However, Changan Ford Xiaolang began to decline in 2017, and Changan Ford sold only 826000 vehicles in China in 2017, down 14% from a year earlier. Sales of the blockbuster product Fox are down 30%, while sales of pterodactyl, Taurus, winged tiger and winged tiger have fallen by double digits.

Ford Changan in 2018 can only be described as dismal, with sales in China of 750000 vehicles in 2018, down 36.9% from 2017. Among them, Changan Ford sold only 377000 vehicles, down more than 50% from last year. China's auto market has experienced 12 consecutive months of negative growth in 2019, and major car companies, whether self-occupied or joint ventures, have spent the "cold winter". And Changan Ford sales still did not pick up. Figures show that Changan Ford sold only 36800 vehicles in the first quarter of this year, down 71.79% from a year earlier, and 14797 in April, down 60% from a year earlier. This month, Ford was fined 168 million yuan by the State Administration of Supervision and Administration for vertical monopoly, the largest fine imposed by Chinese regulators on a car company.

In addition to the decline in sales performance, the quality of Ford's products has also declined. The number of customer complaints is also increasing, affecting sales in China. According to statistics, the total recall of all models of Changan Ford over the past five years has reached 1.34 million. Models include Mondeo, Ruijie, Wing Tiger and other best-selling models. The cold winter of the car market will continue, and the speed of shuffling will continue to accelerate. We will wait and see how Ford will turn things around at home.

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