The Ford Focus is hot in China and sales growth is outpacing overall market growth.
Ford China set a record in November by selling 67,505 vehicles, a 56% increase compared to November 2011. Ford China’s year-to-date sales are now up 18%.
The compact Focus led the growth with 38,362 sales in November and 259,492 sold year-to-date. Ford passenger car sales were 51,602, with virtually all of them built in China. As a result, Ford’s passenger car joint venture in China, newly restructured Changan Ford Automobile also had a record month. CAF sold 50,423 cars in November, up 71% compared to November 2011. Year-to-date CAF is up 27%.
Jiangling Motors, Ford’s commercial vehicle investment in China, also grew 16% in November, with 15,903 wholesale vehicles sold compared to 13,721 in 2011. JMC is up only 2% for the year, partially due to the slow down in China’s economy that thus far is not affecting passenger car sales.
Last week Mazda Motor Corporation said it had final approval from the Chinese government on a restructuring plan for a new joint venture in China, Changan Mazda Automobile, a 50:50 JV between Changan and Mazda without Ford. Ford also went its own way with Changan Ford Automobile, a 50:50 JV between Changan and Ford. (See Mazda Drops Ford Motor in New Changan Mazda JV in China)
Mazda Motor sold 12,187 new cars in China in November, a 30% drop year-on-year. Mazda’s car sales reached 169,814 in the first eleven months in China, down 11% from the previous year.
Ford Motor Company, which sold virtually all of its stock in Mazda thereby losing its controlling interest back in 2008 to raise cash, continues in Chongqing with Changan Ford Automobile. Chongqing is the original factory town of Ford China and now contains a sprawling manufacturing center with two assembly plants and an engine plant in Chongqing, with another engine plant and a transmission plant currently under construction.
What was then called Changan Ford Mazda Automobile (CFMA) broke ground last August for a third assembly plant, Chongqing 3, which will now be part of Changan Ford. The $600 million expansion will make Chongqing the largest Ford production site in the world by far – a latter day Rouge for communist customers. Chongqing 3 includes a new assembly line, body and paint shop. The first vehicle is expected to come off the flexible assembly line in late 2014.At the time, CFMA has also signed a letter of intent with the Municipality of Chongqing to explore expanding its research and engineering capability in Chongqing.
Ford’s wholly owned subsidiaries, joint ventures and investment in China now include Ford Motor (China) Limited, Ford Motor Research & Engineering (Nanjing) Co., Ltd., Ford Automotive Finance (China) Ltd., Changan Ford Automobile Co., Ltd., Changan Ford Mazda Engine Co., Ltd. and Jiangling Motors Co., Ltd.
