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Detroit Three to lose dominance of North American auto output in 2017

DETROIT — North American vehicle production by the unionized Detroit Three automakers will fall behind the combined North American output of Tesla and automakers from Europe and Asia for the first time this year, IHS Markit forecast on Wednesday. In 2017, the Detroit Three could build 8.6 million vehicles in North America, while Tesla and foreign automakers build 8.7 million, IHS Markit analyst Joe Langley said. By 2024, the gap will widen, with Asian and European automakers and Tesla combining to build about 9.8 million vehicles in North America. General Motors, Ford and the North American operations of Fiat Chrysler Automobiles NV will combine to build 8.1 million vehicles, down 6 percent from this year. Mexico is on track to increase its share of North American vehicle production, Langley said, moving to 4.5 million vehicles a year by 2024 from about 4 million vehicles currently. The milestone for the growth of Tesla and foreign automakers in North America comes as the Trump administration is pushing to limit imports of vehicles from Mexico in negotiations to overhaul the North American Free Trade Agreement. The declining share of North American vehicle production for the Detroit automakers also challenges U.S. and Canadian unions that represent their workers. Canadian workers are on strike at a GM factory in Ontario to protest the automaker's decision to cut jobs and move to Mexico some production of sport utility models built there. Foreign automakers over the past year have announced plans for a wave of new or expanded plants in North America, while Tesla is ramping up to build as many as 500,000 cars a year at its plant in Fremont, Calif. Often referred to as "transplants," the foreign-owned factories are poised to become the mainstream of the North American auto industry. Automakers are increasingly using factories in China or Mexico to build vehicles that used to be assembled solely in the United States, Langley said. He cited as an example Ford's decision to shift production of the Focus small car for North America to a Chinese assembly plant. Reporting by Joseph WhiteRelated Video: Image Credit: Reuters Plants/Manufacturing Chrysler Ford GM

2016 Ford Fusion hybrid, plug-in getting $900 price cut

While the overall the green car market in the US suffered a slump in 2014 with a 6.5-percent drop in sales, the demand for electric vehicles and plug-ins actually jumped a healthy 28 percent. The Ford Fusion Energi plug-in was among the winners in the segment with a nearly 90 percent boost to 11,550 examples sold for the year. To keep the ball rolling in the face of low gas prices and updated challengers entering the field, the Blue Oval is slashing $900 off the cost of both the Energi and standard Fusion Hybrid to make them even more attractive to buyers. Ford's Monique Brentley told Autoblog that, the reduction was done, "basically, just to attract more customers and promote sales." The cut affects every trim of both electrically assisted versions of the Fusion for the 2016 model year, according to Cars Direct, and it comes without the removal of standard equipment. On the contrary, the Energi reportedly gets a new EcoSelect driving mode that activates additional regenerative braking and more gentle acceleration. The $900 pricing adjustment is only for these models and not available on the versions with only an internal combustion engine, which makes it clear Ford wants to tantalize green car buyers towards this pair. According to Cars Direct, the models should go on sale in late 2015. The least expensive 2016 Fusion Hybrid S will retail for $25,675, plus $825 destination on all of them, and a 2016 Energi start at $33,900. Autoblog's own pricing pages for them show the same numbers (here and here). Cars Direct also predicts for the Blue Oval to keep most incentives in place even after the adjustment. Assuming these figures don't change before the sedans actually go on sale, the price cut makes a 2016 Energi less expensive than a 2015 Chevrolet Volt starting at $34,345 (plus $825 destination). The cost of the updated 2016 model for the Chevy isn't announced yet.

2013-2017 Ford Explorer recalled over rear suspension issue, again

Ford is recalling about 375,000 Explorer SUV models built between 2013 and 2017 in North America to fix a potential defect in the rear suspension. In "North America states and provinces where corrosion is common," which we take to mean areas that experience harsh winters and heavily salted roads, "a fracture of the outboard section of the rear suspension toe link" is possible on affected vehicles. Ford says 350,000 of these models were sold in the United States and another 25,200 in Canada. This isn't the first time Explorers of this generation have been recalled for fractured toe links. Back in the summer of 2017, 1.2 million Explorer models were recalled over toe links that could fracture if subjected to "frequent full rear suspension articulation (jounce and rebound)." A little over a year earlier, 75,000 Explorers were recalled over, you guessed it, rear toe links that may not have been welded properly. It's not just Explorers that Ford has recalled over rear toe links. Earlier this year, the automaker issued a recall that covered nearly 230,000 Ford Flex, Taurus and Lincoln MKT models. All of these recalled vehicles ride on similar unibody underpinnings that Ford calls the D4 platform. We can't say whether these other D4-based vehicles will get another recall as the Explorer has. Ford says it is aware of as many as 13 crashes and six injuries attributable to the toe links covered under this most recent Explorer recall. Owners will need to visit their preferred dealership, which will "complete a torque inspection of the cross-axis ball joint and replace it as necessary," according to Ford. Related Video: