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2016 Ford Focus RS shows up in Geneva, still bound for America [w/video]

Representing the super-hot hatchback movement at the 2015 Geneva Motor Show, we have the 2015 Ford Focus RS, the third-generation to wear the performance-focused designation. Bound for America for the first time, it's fair to say we're darn excited for the Focus RS and its 2.3-liter, turbocharged four-cylinder. With at least 315 horsepower under the hood and the long-awaited inclusion of an all-wheel-drive system, there's little arguing that the RS will be seriously quick off the line. It should be darn good through the bends, too. The all-wheel-drive system packs a Dynamic Torque Vectoring Control system that sends up to 70 percent of the power to the rear axle. On top of the AWD's torque vectoring ability, the Focus RS adds a brake-based torque vectoring system, which transfers power laterally, as needed. Michelin Pilot Sport Cup 2 tires should only help keep the RS glued to the tarmac. A three-pedal setup is the sole transmission option, which should delight purists. According to Ford, both the clutch and the trans itself have been bolstered to handle the 2.3-liter's power. Ford also comprehensively upgraded the looks of the Focus RS relative to the lesser Focus ST. Its enormous rear wing and the back bumper's rear diffuser complement the car's menacing face. The ST's center-exit exhaust has been ditched for a meaty set of pipes, while the car on display in Geneva shows off a different set of alloys than what we saw during the car's original debut. Check out our full gallery of live photos of this hot Ford, available up top. And be sure to check out our Short Cut of the new hot hatch by scrolling down. All-New Ford Focus RS; High-Performance Hatch with Innovative All-Wheel Drive Set for U.S. Debut - Third-generation Ford Focus RS will be available in major markets around the world and for the first time in the United States; Focus RS follows the reveal last month of the new Ford GT supercar – a new era of Ford performance that will deliver 12 new vehicles by 2020 - All-new Ford Performance All-Wheel Drive with Dynamic Torque Vectoring Control paired with a powerful 2.3-liter EcoBoost® four-cylinder engine will provide impressive performance - Aggressive, functional design inside and out makes Focus RS the most powerful production Focus ever, with highly capable performance on both road and track - Professional rally driver and star of Gymkhana films Ken Block teamed with Ford as a consultant on development of Focus RS Cologne, Germany, Feb.

Rising aluminum costs cut into Ford's profit

When Ford reports fourth-quarter results on Wednesday afternoon, it is expected to fret that rising metals costs have cut into profits, even as rivals say they have the problem under control. Aluminum prices have risen 20 percent in the last year and nearly 11 percent since Dec. 11. Steel prices have risen just over 9 percent in the last year. Ford uses more aluminum in its vehicles than its rivals. Aluminum is lighter but far more expensive than steel, closing at $2,229 per tonne on Tuesday. U.S. steel futures closed at $677 per ton (0.91 metric tonnes). Republican U.S. President Donald Trump's administration is weighing whether to impose tariffs on imported steel and aluminum, which could push prices even higher. Ford gave a disappointing earnings estimate for 2017 and 2018 last week, saying the higher costs for steel, aluminum and other metals, as well as currency volatility, could cost the company $1.6 billion in 2018. Ford shares took a dive after the announcement. Ford Chief Financial Officer Bob Shanks told analysts at a conference in Detroit last week that while the company benefited from low commodity prices in 2016, rising steel prices were now the main cause of higher costs, followed by aluminum. Shanks said the automaker at times relies on foreign currencies as a "natural hedge" for some commodities but those are now going in the opposite direction, so they are not working. A Ford spokesman added that the automaker also uses a mix of contracts, hedges and indexed buying. Industry analysts point to the spike in aluminum versus steel prices as a plausible reason for Ford's problems, especially since it uses far more of the expensive metal than other major automakers. "When you look at Ford in the context of the other automakers, aluminum drives a lot of their volume and I think that is the cause" of their rising costs, said Jeff Schuster, senior vice president of forecasting at auto consultancy LMC Automotive. Other major automakers say rising commodity costs are not much of a problem. At last week's Detroit auto show, Fiat Chrysler Automobiles NV's Chief Executive Officer Sergio Marchionne reiterated its earnings guidance for 2018 and held forth on a number of topics, but did not mention metals prices. General Motors Co gave a well-received profit outlook last week and did not mention the subject. "We view changes in raw material costs as something that is manageable," a GM spokesman said in an email.

Ford UK exec says EVs are a good way to lose a fortune

Stateside, Ford execs are quick to point out the automaker's expansion in the plug-in sector. And despite a minimal presence in the pure EV space, the Blue Oval has been promoting its plug-in vehicles as part of an overall effort to boost fleetwide fuel economy. Too bad the company's UK chief didn't get the memo. There's "no point in us getting behind [EVs] and losing a fortune" - Ford's Mark Ovenden Mark Ovenden, speaking rather frankly at the Geneva Motor Show recently, said he didn't have real high hopes for substantial electric-vehicle adoption and said the company's money was better spent on smaller gas- and diesel-powered engines, the UK's Daily Mail says. Ovenden said of EV development that there was "no point in us getting behind it and losing a fortune," adding that his goal was to have variants of Ford's EcoBoost engine in 40 percent of the company's vehicles. Ford has about a 15-percent market share in the UK. The UK doesn't appear to be as kind to the EV as the US. Nissan last year cut the price of its all-electric Leaf there last year by about $4,000, while the company rolled out a promotion for the Leaf late last year, including allowing Leaf drivers to borrow a gas- or diesel-powered Nissan for free for as long as two weeks a year during the first three years of Leaf ownership. In the US, Ford sold just 229 Ford Focus Electrics during the first two months of the year after moving 1,738 units in 2013.