DETROIT — Ford Motor Co. said Friday it would temporarily halt production at 10 assembly plants between now and the end of the year, blaming high gas prices for pushing many consumers away from its pickups and SUVs and toward higher-mileage models. Ford said the cuts will reduce the need for costly incentives to reduce bloated inventories. But they also illustrate just how out of step the lineup at the nation’s second-largest automaker has become, as it loses market share to mostly Asian competitors under the watch of Chairman and Chief Executive Bill Ford. General Motors Corp. and DaimlerChrysler AG’s Chrysler Group also have been caught in the shift away from trucks and SUVs to smaller cars and crossovers as consumers seek better fuel economy. The Big Three’s combined U.S. market share fell to 54.5 percent for the first seven months of 2006, down from 58.7 percent in the same period a year ago. GM already has announced it will cut production 7 percent to 8 percent in the third-quarter. Ford announced a turnaround plan in January that called for shedding 25,000 to 30,000 jobs and closing 14 plants by 2012. By year’s end, the company […]
Saturday, August 19th, 2006
The American Automobile Industry Faces Massive Restructuring
Author: SARAH KARUSH
Source: The Associated Press
Publication Date: Aug 18 7:17 PM US/Eastern
Link: The American Automobile Industry Faces Massive Restructuring
Source: The Associated Press
Publication Date: Aug 18 7:17 PM US/Eastern
Link: The American Automobile Industry Faces Massive Restructuring
Stephan: