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For thousands of US auto workers, the downturn is already here

LORDSTOWN, Ohio - Wall Street is fretting that the auto industry is heading for a downturn, but for thousands of workers at General Motors factories in the United States, the hard times are already here. Matt Streb, 36, was one of 1,200 workers laid off on Jan. 20 - inauguration day for President Donald Trump - when GM canceled the third shift at its Lordstown small-car factory here. Sales of the Chevrolet Cruze sedan, the only vehicle the plant makes, have nosedived as consumers switch to SUVs and pickup trucks. Streb is looking for another job, but employers are wary because they assume he will quit whenever GM calls him back. "I get it," said Streb, who has a degree in communications, "but it's frustrating." Layoffs at Lordstown and other auto plants point to a broader challenge for the economy in Midwestern manufacturing states and for the Trump administration. "This is about economics, not what Trump says. Even if Trump went out and bought 10,000 Cruzes a month, he wouldn't get the third shift back here." The auto industry's boom from 2010 through last year was a major driver for manufacturing job creation. The fading of that boom threatens prospects for US industrial output and job creation that were central to Trump's victory in Ohio and other manufacturing states. "This is about economics, not what Trump says," said Robert Morales, president of United Auto Workers (UAW) union Local 1714, which represents workers at GM's stamping plant at Lordstown. "Even if Trump went out and bought 10,000 Cruzes a month, he wouldn't get the third shift back here." Last week the Federal Reserve said factory output fell 0.4 percent in May, the second decline in three months, due partly to a 2 percent drop in motor vehicles and parts production. Mark Muro, a senior fellow at the Brookings Institution, has compiled data from government sources that show the auto industry punching higher than its weight in job creation in recent years - accounting for between 60 percent and 80 percent of all US manufacturing jobs added in 2015 and 2016. In the first quarter of this year, the auto industry accounted for less than 2 percent of the 45,000 manufacturing jobs created. "There's no argument with the idea that auto has been pulling the manufacturing sled up the mountain for the last three or four years," Muro said.

Ford Sync 3 launches this summer on 2016 Escape, Fiesta [w/video]

The days of MyFord Touch are nearly over. Ford unveiled its brand-new Sync 3 infotainment system late last year, and has now announced that the first vehicles to receive this tech will be the 2016 Escape and Fiesta, this summer. The big improvements for Sync 3 include faster response time, better voice command integration, more logical controls, and a more intuitive interface. Those were all the key complaints of MyFord Touch – especially the response-time issue. Furthermore, future Sync 3 updates can be downloaded via WiFi. Sync 3 ditches the Microsoft-sourced software that powered MyFord Touch. Instead, Ford uses the Blackberry-owned QNX system. Ford will update its full range of vehicles in the near future, with complete integration by the end of the 2016 calendar year. Lincoln will get this tech, too, but with a slightly different look. Have a look at Sync 3 in the video below, and scroll down for Ford's official press blast. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. ALL-NEW FORD SYNC 3 CONNECTIVITY SYSTEM LAUNCHING ON 2016 FORD ESCAPE AND FIESTA THIS SUMMER – SYNC® 3 – Ford's all-new communications and entertainment system – features faster performance, conversational voice recognition, intuitive smartphone-like touch screen and easier-to-understand graphical interface – Other new features include seamless integration of AppLink™ for a simple way to control smartphone apps, Siri Eyes-Free capability for Apple iPhone, software updates via Wi-Fi, and enhanced 911 Assist® for subscription-free emergency calling in the event of a significant accident – SYNC 3 to launch in North America on 2016 Ford Escape and Fiesta – on sale this summer – providing a safer way for Ford customers to connect their smartphones while keeping their eyes on the road and hands on the wheel DEARBORN, Mich., June 2, 2015 – Ford announced today its all-new SYNC® 3 technology debuts this summer in North America on the 2016 Ford Escape and Fiesta. The new communications and entertainment system is faster and easier to use with enhanced response to driver commands. With the debut of SYNC 3 for Escape and Fiesta, Ford is launching its newest in-car connectivity technology as an option in one of its highest-volume vehicles, Escape, and in its most affordable car, Fiesta.

Ford nets $924M in first quarter

Where General Motors' first-quarter 2015 financials showed growth in many major metrics, Ford's newly released numbers had falling figures in most of the vital categories. The automaker's Q1 revenue shrank to $33.9 billion, down $2 billion, and net income fell to $924 million, a $65-million drop. However, pre-tax profits increased slightly to $1.4 billion, $24 million more than in the same period in 2014, and operating margin rose to 3.6 percent, up 0.2 percent. Despite the less-than-stellar numbers, the Blue Oval thinks 2015 should be positive for the company. "The first quarter was a good start to a year in which our results will grow progressively stronger as the new products we have been launching start to pay off," CEO Mark Fields said in the financial announcement. The automaker has 15 vehicles to launch globally this year, and only three of them are already out. By the end of 2015, Ford predicts pre-tax profits of between $8.5 billion and $9.5 billion. In terms of vehicle sales, Ford slipped by 21,000 to a total of 1.568 million worldwide in the first quarter. North American sales dropped to 678,000, which was 39,000 less than last year, and pre-tax profits fell to $1.34 billion, a $160-million fall. The company explained the reductions on this continent as linked to the launches of the latest F-150 and Edge. In other major markets, European wholesales grew to 376,000 vehicles, a 9,000-car boost from last year. Pre-tax results there increased by $9 million, but the area still showed an overall loss of $185 million. In the Asia Pacific region, Ford moved 16,000 more units than in Q1 2014 to reach 366,000. However, due in part to preparing for new vehicles, the company only made $103 million there, a $188-million drop. The automaker released all of these figures as part of a PDF, which you can download here. Related Video: