On June 27, Ford announced that it is launching a new business model and fresh vehicle line-up as part of the most comprehensive redesign in the history of its business in Europe.
Ford will introduce at least three new nameplates in the next five years as it continues to grow its utility vehicle portfolio, including the all-new Mustang-inspired fully electric performance utility. The new nameplates are in addition to all-new Kuga, Puma and Explorer Plug-In Hybrid coming by early 2020. Every new Ford passenger vehicle nameplate will include an electrified option. A future family of battery electric vehicles will be assembled in Europe.
The new European operating model and resulting organization are effective July 1. Three new business groups - Commercial Vehicles (CVs), Passenger Vehicles (PVs) and Imports - are established to facilitate fast decision-making centred on customer needs. Each has a dedicated management organisation including leaders responsible for marketing, manufacturing and product development.
Ford intends to grow its leadership as the top-selling CV brand in Europe, including leading the pickup segment, and to double its CV profitability in Europe in the next five years. The Commercial Vehicles group will be based at the company’s CV centre of excellence in Dunton, U.K.
The Passenger Vehicles group will be based in Cologne, Germany, and lead a future portfolio of European-built cars and SUVs. European passenger vehicle development, including battery electric vehicles, will be centred in Cologne-Merkenich.
The Imports group will comprise a niche portfolio of iconic passenger vehicles including Mustang, Explorer and an all-new Mustang-inspired fully electric performance utility coming in late 2020. Ford expects to more than triple passenger vehicle imports into Europe annually by 2024.
Ford’s manufacturing footprint in Europe will be reduced to a proposed 18 facilities by the end of 2020, from 24 at the beginning of 2019. In the U.K., the Ford of Britain and Ford Credit Europe headquarters in Warley also will close later this year and operations consolidated in Dunton
In addition, Ford is implementing shift reductions at its assembly plants in Saarlouis, Germany, and Valencia, Spain.
In total, approximately 12,000 jobs will be impacted at Ford’s wholly owned facilities and consolidated joint ventures in Europe by the end of 2020.
(Ford press release on June 27, 2019)