Ford admits that floods in Thailand caused a 2011 loss for its Asia Pacific and Africa region

Article by Christian A., on January 12, 2012

Ford Motor Co. wasn’t able to achieve its goal to make profits in all of its business units throughout the world in 2011. It reported a loss in the Asia Pacific and Africa region due to the flooding in Thailand. In a presentation at the Detroit auto show, Ford Chief Financial Officer Lewis Booth said that the Thai floods had a bigger impact than was expected by the company.

He said that in the third quarter, Ford released a guidance to say that all business units would be profitable for the full year but then the automaker doesn’t anymore believe that this is possible. CEO Alan Mulally said that by 2015, Ford global sales will go up by 50% to 8 million vehicles and that a third of its deliveries will be in Asia by 2020. Ford, which is ranked second in the U.S., has less than 3% of the Chinese market.

Michael Robinet, an analyst with auto consultant IHS Automotive in Northville, Michigan, said that this proves just how “globally interconnected” Ford is. Robinet is optimistic that the Thai disaster’s impact will be brief and that the company will recover over time. Joe Hinrichs, Ford’s chief of that region, revealed that Ford is constructing seven factories and has 50 new models and engines arriving in Asia by 2015.

He said that Ford sales increased by 7% in China in 2011, doing better than the 3% to 4% growth in total auto sales in the country. By 2013, Ford would have already opened two plants in China where Ford aims to present two sport-utility vehicle models. [source: Bloomberg]

Topics: ford, thailand

If you liked the article, share on:

Pin It

Comments

Recommended

Lamborghini has disclosed that it is looking into the possibility of releasing electric vehicles. With the Volkswagen Group revealing that it will be releasing electric vehicles within several years, there...
by - March 25, 2017
Daimler AG, through its Smart division, has disclosed that its two electric models, the Smart ForTwo and the Smart ForFour are now open for orders in Germany. Official market launch...
by - March 25, 2017
Lamborghini has officially offered clear proof that the Huracán Performante was able to set a new record at the Nürburgring Nordschleife with a time of 6:52.01 It was in early...
by - March 25, 2017
Top Gear has revealed that for its “Stars in a Reasonably Fast Car” segment, it will now be using a slightly enhanced Toyota GT86, which in the U.S. market is...
by - March 24, 2017
Porsche is laying aside any plans of pushing another hybrid hypercar into their line-up -- at least not at this time. Oliver Blume, Porsche Global Chief confirmed in a recent...
by - March 24, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries