Once a manufacturing powerhouse in Europe, Ford built some of the continent’s best-known family cars, including the Fiesta and Mondeo. But the automaker has spent years in retreat, axing models, closing factories and losing dealers as its market share slid from nearly 9% in 2010 to below 3% last year, according to the European Automobile Manufacturers’ Association.
Ford ended production last year at its Saarlouis plant in Germany after discontinuing the Fiesta, underscoring the steep decline of a business that once helped define mass-market motoring in Europe.
The Bronco — long associated with desert racing and California surf culture in the US — has never been sold widely in Europe. Ford in 2021 revived the model in North America after a 25-year hiatus, turning the SUV into one of its biggest product successes in years. It’s now betting on a smaller European version, alongside other models, to revive its fortunes in the region after years of cutbacks and declining sales.
The company in December teamed up with Renault SA to make affordable cars with a plug, casting the agreement as a new lease of life for the business. The manufacturer has also held talks with China’s Zhejiang Geely Holding Group Co about sharing manufacturing capacity in Europe.
See also: Volkswagen eyes cutting 100,000 jobs and closing plants, report says
Ford last year installed long-time executive Jim Baumbick to lead its European business amid a broader turnaround effort in a region where the company has operated for more than a century. Earlier this year, the automaker pledged as much as €4.4 billion to reduce debt and fund restructuring at its struggling German unit, which has been hit by weak demand and high costs.
While the passenger car business has been sliding, Ford’s commercial van unit has remained solid and on Monday said it’s expanding its suite of software and services offerings.
Separately, Ford on Monday announced that its energy division signed a supply agreement with a subsidiary of EDF Group. The news sent Ford’s shares up 3.9% before regular trading in New York, reviving a rally from last week on enthusiasm for its newly formed business.
Uploaded by Evelyn Chan
