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Ford opens 88 new dealerships in China in a single day

"Ford opened 88 dealerships in China last year." "Ford opened 88 dealerships in China during the first half of 2014." "Ford opened 88 dealerships in China last month." None of those statements - even the last one - would seem unbelievable. Saying "Ford opened up 88 dealerships in China last Thursday," though, is a bit more dramatic.
Yes, on June 19 alone, Ford opened the doors on nearly 100 showrooms in the People's Republic, boosting the Blue Oval's total presence in the country to 750 dealerships. Of course, while an overabundance of dealers in the US proved troublesome for American manufacturers back in 2008 and 2009, there's no such concern in China. Considering the country's huge population and the breakneck pace of the local auto industry, you could be forgiven for being surprised Ford only has 750 outlets at this stage.
What's notable about this most recent push, besides the sheer volume of new stores, is their location. Over three-quarters of the new dealerships are in so-called Tier 4 cities, which are smaller towns that still contain millions of people. This fits with Ford's strategy in China of avoiding the bigger battlegrounds that are already dominated by competitors and focusing on setting up shop in newer markets that may have been overlooked, according to Automotive News.

Ford workers vote to ratify new four-year UAW contract

DETROIT — The United Auto Workers union said on Friday that rank-and-file members at Ford have voted in favor of a new four-year labor contract with the No. 2 U.S. automaker. The UAW will now focus on Fiat Chrysler Automobiles (FCA), the sole remaining Detroit automaker without a new labor contract. Talks with FCA are expected to begin on Monday, a UAW spokesman said. The union said 56.3% of Ford's hourly workers voted to approve the deal, which allowed the company to avoid a strike like the one that cost its larger rival General Motors about $3 billion (GBP2.3 billion). UAW leaders said earlier this month that Ford under the deal agreed to invest more than $6 billion in its U.S. plants, and to create or retain more than 8,500 UAW jobs. The deal also includes pay raises and lump-sum payments over the life of the contract, a pathway to full-time employment for temporary employees and unchanged healthcare coverage. Workers at GM approved a deal in late October that ended a contentious 40-day U.S. strike, the longest automotive labor stoppage since 1970. Detailed terms of the Ford deal — released just a week after GM workers approved their new contract — echoed those agreed to with GM, as the union typically uses the first deal as a template for those that follow. UAW leaders managed contract negotiations with Ford and GM, including the lengthy strike, while struggling with an ongoing federal corruption probe. To date, 10 people have pleaded guilty in connection with the criminal investigation into illegal payoffs. Just last week former UAW vice president and former GM board member Joseph Ashton was charged with conspiracy to commit money laundering and wire fraud. Earlier this month the UAW said that its president, Gary Jones, who had been linked to the ongoing corruption probe, was taking a leave of absence. Rory Gamble, the union's acting head, said last week he will examine every department of the union in response to the spreading federal corruption probe to prevent future misuse of members' dues.

Ford running short of F-150 frames

Like most any automaker, Ford is eager to build as many F-150 pickups as it can sell. And considering that the truck has long stood as the top selling vehicle in the United States, that means building (and selling) a lot of them. Further, Ford reports that its factories are finally fully up to speed and ready to build as many F-150s as dealers can sell. Unfortunately another factor is reportedly preventing the new aluminum-bodied pickup from reaching its potential. According to Automotive News and as we've heard before, the Blue Oval automaker has had trouble getting its hands on as many frames as it needs. Though Ford would not confirm the shortage itself, AN cites union sources in reporting that the Metalsa plant in Kentucky, which produces the new F-150's frame for Ford, has been unable to meet the demand for more such frames. "Whenever you have launches, you have issues that you have to deal with in the supply base," is all Ford CFO Bob Shanks would admit. "We're always working closely with suppliers if there's an issue to sort it out. If that were the case, that's what we'd be doing." The reported supply shortage could be why plans for overtime production are reportedly being canceled at both the plants in Kansas City and Dearborn where the F-150s are assembled, despite reaching or nearing full capacity. The shortage could also help explain why, according to AN, sales of the F-Series in the United States fell nearly 10 percent last month, while the rest of the pickup market rose 17 percent. Related Video: