Fields said “zero” jobs will be lost in the USA and said “it is really unfortunate when politics get in the way of the facts”. “We’ve given you clear evidence that Ford is a solid investment with an attractive upside”, Mr. Fields said.
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“Over the next two to three years, we will have migrated all of our small auto production to Mexico and out of the United States”, CEO Mark Fields told a meeting in Dearborn, Mich., where it is based.
Fields said that Ford planned to shift a majority of its small vehicle production around the world to low-priced countries by 2019, which could affect Ford’s Western European auto production.
Lower profit margins for small cars are an industry-wide issue, and have led to many automakers shifting manufacturing to lower-cost zones.
CNN’s Poppy Harlow also asked Fields about Trump’s proposed 35% tariff, which would need Congressional support to become a reality.
Last year, the automaker confirmed during contract talks that it would move Focus and C-Max production out of its Wayne, Michigan, plant in 2018.
Today, Fields reiterated the automaker’s commitment to the UAW to keep that plant running.
“This is very different thinking for us”, Fields said.
It now builds the Chevrolet Cruze at a factory in Lordstown, Ohio, and the Chevy Sonic at a plant in Orion, Michigan.
Fields, however, points out that vehicles used for ride-hailing services could rack up miles “four or five times” faster than a normal automobile. They probably will be larger, more profitable vehicles such as the Ford Ranger pickup.
The share price has not recovered since it fell more than 8% in late July when Ford said the industry was going into a gradual decline.
The 113-year-old company this year has unveiled a flurry of partnerships and investments, reminiscent of the company’s frenzy 15 years ago during the dot-com bubble to develop new ventures and acquire luxury brands.
Earlier it was reported that Ford Motors was planning to build a new auto assembly facility in Mexico which would cost around $1.6 billion.
– CUTTING COSTS: Ford says it will gain $3 billion each year in efficiencies between 2016 and 2018.
After Focus production moves to Mexico, Ford will move the production of other vehicles into the Wayne., Mich., plant where the Focus is now made, Ford spokeswoman Kelli Felker said.
Ford rebutted Trump’s comments, stating that the company would not be firing any of its employees and will continue to build other models in the U.S.
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“Whoever is in the White House, we work for them productively”, he said.
