Ford August sales skid 26 percent
Ford Motor Co. said on Wednesday its August US sales slid 26.6 per cent from a year ago, citing a "weak economy" and sluggish demand for large trucks and sport utility vehicles.
By Agencies |
CHICAGO : Ford Motor Co. said on Wednesday its August US sales slid 26.6 per cent from a year ago, citing a "weak economy" and sluggish demand for large trucks and sport utility vehicles.
The number two US automaker said it sold 155,690 vehicles from its domestic nameplates and the Volvo brand, down
26.6 per cent from the same month last year.
Ford cited "higher demand" for fuel-efficient small cars and SUVs but this was offset by other factors.
"The impact of a weak economy and lower demand for large trucks and SUVs resulted in double-digit sales declines for Ford and the auto industry," the company said.
"We expect the second half of 2008 will be more challenging than the first half, as weak economic conditions and the consumer credit crunch continues," said Jim Farley, Ford group vice president.
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Ford's domestic nameplate sales -- Ford, Lincoln and Mercury -- totaled 151,021, down 25.6 percent from a year ago. That resulted from a 53 percent slide in sales of SUVs and 39 percent for trucks. Sales to fleet customers were off 31 per cent. Volvo sales slumped 28.8 percent to 4,669.
Ford now plans to produce 890,000 vehicles in the second half of 2008, a drop of 50,000 from earlier forecasts.
Ford earlier this year sold its Jaguar and Land Rover nameplates to India's Tata Motors. In 2007 it shed the Aston Martin brand.
"Both the Tatas and the government failed in this. The Governor has started a process of negotiation and this is the way out," Tewari said.
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