2014 Ford F150 Fx4 on 2040-cars

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Trucks, SUVs — and Camry — shine in mixed U.S. January vehicle sales

DETROIT — Automakers posted mixed U.S. new vehicle sales data for January, with American consumers continuing to abandon passenger cars for the larger pickup trucks, SUVs and crossover models that manufacturers also love because they are far more profitable. Total industry auto sales for the month rose 1 percent versus January 2016. According to Autodata Corp, which tracks industry sales, the seasonally adjusted annualized rate (SAAR) of U.S. car and light truck sales in January fell to 17.12 million units from 17.44 million a year earlier. Analysts polled by Reuters had expected a January SAAR of 17.2 million units. U.S. auto industry sales fell 2 percent in 2017 to 17.23 million vehicles after hitting a record high in 2016 and are expected to drop further in 2018 despite a solid economy. Interest rates are rising and around 4 million late-model used cars will return to dealer lots this year to compete with more expensive new ones. Automakers have used consumer discounts to boost sales, a growing concern for observers who say this undermines resale values and profits. Discounts declined in January, but remained above 10 percent of manufacturers' recommended prices. ""I think the industry has accepted that (sales) volumes will fall somewhat in 2018 ... and I don't think the industry is going to go over the cliff with insane incentives," Mike Jackson, chief executive officer of AutoNation Inc, told Reuters after his company, the largest U.S. auto retail chain, posted a higher quarterly net profit. Mark Wakefield, head of the North American automotive practice for consultancy AlixPartners, had a gloomier perspective. The industry's less-than-stellar sales performance for January showed "we are now past the peak," he said. "Automakers are now selling the deal instead of the vehicle," he said. "That's a tough spot to be in because that treadmill is hard to get off once you're on it." General Motors January sales rose 1.3 percent, driven by a 16 percent rise in fleet sales. Sales to consumers fell 2.4 percent. GM posted strong gains for models such as the Silverado pickup truck and Equinox crossover model, while its passenger cars continued to struggle. Ford The Blue Oval posted a 6.6 percent sales decline for January, with retail sales down 4.3 percent. Sales of Ford's F-Series pickup trucks - America's best-selling vehicle brand for decades — rose 1.6 percent. Passenger cars were down more than 23 percent.

2016 Ford F-150 gets new Limited model

The average price paid for a full-size pickup this year is $42,429. Ram is right at that mark, with an average price of $42,256, the Chevrolet Silverado is below it, at $38,384, and the Ford F-150 is above, at $46,573. That average transaction price is thirty percent higher than it was six years ago, and that F-150 price is eight percent higher than one year ago. We can thank that escalation for the arrival of the new F-150 Limited, a truck that Ford says responds to the "growing needs of discerning truck customers interested in exclusivity, capability and craftsmanship." Reuters went further, saying customers want "trucks that could substitute for a higher end German sedan." Billed as "the most advanced, luxurious F-150 ever," everything has been thrown at the standard features list. Buyers will get the luxury modifiers we expect from Europeans, like Mojave leather throughout, climate-controlled, massaging front seats, heated rear seats, and fiddleback eucalyptus wood. Driver assistance systems are legion, including a 360-degree camera system, adaptive cruise control, active park assist, a remote tailgate release, and SYNC3. Ford's new Pro Trailer Backup Assist will be an option. As if that won't be enough to tell it from the less luxurious models, the Limited sits on unique 22-inch wheels, the word "Limited" is written on the hood, the VIN is laser engraved in a plaque in the armrest, and the grille, tailgate, and door handles get a satin chrome finish among other changes. Only four exterior colors make the palette: Shadow Black, Magnetic, Blue Jeans and White Platinum Metallic tri-coat. The sole engine offered is the 3.5-liter EcoBoost V6 with 365 horsepower and 420 pound-feet of torque. We've been talking about luxury trucks for years now, and Ford's competition is in the game, too - Chevy has its Silverado High Country, Ram its Laramie Limited. This new F-150 Limited, however, raises all bets. It will go on sale this winter at an as-yet-unknown price, but since the current top-of-the-line Platinum starts at $51,585, we have a feeling that getting a Limited out the door under $60K will be near impossible. Admire the new seduction in the images above, the press release below has more.

Ford paying $750 million just to close plant in Belgium

According to a report from Reuters, Ford is shelling out $750 million in a severance deal that will see the automaker close its facility in Genk, Belgium. The automaker reached this deal with the 4,000 hourly workers employed at the plant last week, which means the company will pay out an average of $187,500 per worker.
Ford is still negotiating with the 300 salaried workers at the factory, which currently produces the Mondeo sedan. All told, Ford expects to lose around $2 billion in Europe thanks in no small part to the region's ongoing economic downturn, and two more plants are scheduled to be shut down in Europe this year. The company will log its $750 million payout under "special items" for this quarter.
As you may recall, Ford took a similar path in the US back in 2009 when the domestic market took a spill. Back then, the company shelled out around $50,000 per employee with at least one year of experience, plus either $25,000 toward a new car or an extra cash payment of $20,000. It would seem the cost of closing plants in Belgium is a much harder pill to swallow than in the States...