Ford says car industry needs more Europe result cuts

DETROIT -- Ford Motor Co's European leader Stephen Odell stated that business-wide creation cuts of 1.5 million to 2 million vehicles in Europe that have happened or are declared will still make output well above demand.

2014. Odell told reporters at the firm's headquarters on Thursday that Ford is keeping its sales forecast for entire business sales of 13.5 million vehicles in 19 Western Europe countries.

Ford's sales in those 19 markets for June were 6.4 percent higher-than a year ago, while the general business saw a fall of 6.6 percent in new automobile sales, Odell said.

The European business sales rate in June may have grown to 13.8 million in June, Odell said,

a tempo that would surpass Ford's fullyear outlook for as much as 13.5 million deliveries.

The business is beginning to show signs of equilibrium, he said. "We aren't forecasting any upturn yet, but there are definitely some good indicators. Our prediction will be that we are in or near to the trough. We do not find any further decline now."

Ford said it does not plan further reductions in its output capability. "We are at the stage where we have no more ability announcements to make," said Odell. "We have always said, however, that we'll track the scenario and if there were more devastating, asyet-unpredicted changes, we'd respond to them. We believe that we have taken appropriate actions."

Stopping the European shortage is one of Ford CEO Alan Mulally's major challenges. Ford relies on its lucrative North American businesses and is looking to diversify its gains.

Ford is introducing new versions for example the EcoSport compact SUV in Europe to lessen its reliance on sales to rentalcar companies and dealer self - registrations. Additionally, it wants to increase the percentage of higherprofit sales to business and retail - fleet buyers.

Ford said that June was the 3rd straight month that it made yearon-year sales increases.

Ford is closing a plant in Dagenham; a Southampton, England, factory which makes chassis cabs for the Transit van; and an assembly in Genk, Belgium, on the outskirts of London.

Ford says car industry needs more Europe result cuts

12.12.2014
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