Ford executives comment on the future of Falcon and Territory

[Cheech]

Can't see car manufacturing taking place in OZ in the near future.....

Aust has one of the highest costs of living in the world and as such high rates of pay. Our labour costs can't compete when compared to SE Asia.

Aust has a free trade agreement with the US and pretty much all of SE asia under AANZ free trade agreement (ASEAN). General duty rates have been lowered progressively over the last 15 years. So the protection through duties that our car industry once had will be gone eventually.

From Ford's prespective they would not dream of manufacturing a global car in Australia unless it had no other options. The costs per unit compared to manufacturing in SE Asia would be to high.

The fact that Fiesta is now manufactured in a hub area (Thailand) leads me to beleive that this is the type business model that Ford will follow.

[Brazen]

Originally Posted by Cheech

Can't see car manufacturing taking place in OZ in the near future.....

Aust has one of the highest costs of living in the world and as such high rates of pay. Our labour costs can't compete when compared to SE Asia.

Aust has a free trade agreement with the US and pretty much all of SE asia under AANZ free trade agreement (ASEAN). General duty rates have been lowered progressively over the last 15 years. So the protection through duties that our car industry once had will be gone eventually.

From Ford's prespective they would not dream of manufacturing a global car in Australia unless it had no other options. The costs per unit compared to manufacturing in SE Asia would be to high.

The fact that Fiesta is now manufactured in a hub area (Thailand) leads me to beleive that this is the type business model that Ford will follow.

Wages are only a small component of a vehicle's cost, there are many other factors. Nowadays Goverment support is the main driver. Look at expensive England, they have had a massive resurgence in their local car making - but their government provides more support per head of population than our government.

similarly Thailand government provides massive support for their local industry.

[Cheech]

Originally Posted by Brazen

Wages are only a small component of a vehicle's cost, there are many other factors. Nowadays Goverment support is the main driver. Look at expensive England, they have had a massive resurgence in their local car making - but their government provides more support per head of population than our government.

similarly Thailand government provides massive support for their local industry.

Agreed when it comes to manufacturing a car.
You also need to add the labour cost all the way along the supply chain as well. And... then the wages of FoA. Ford will look on the operation as a whole.
If the case is that they can make more money from shifting production OS, they will likely do it. Its likely that actuaries have already run the numbers and signed off on it.

Aussie government has also committed to getting themselves back to surplus, which means less $$$ to be handed out.

[2011G6E]

Sounds like they're disappointed with sales of the Falcon and Territory...Here's an idea, just a subtle hint...

Try advertising the fricking things you idiots!...

There were a few...very damn few...clever adverts for the turbo diesel Territory a while back on TV...but then they vanished. Falcons? 3/8ths of bugger all..

[FPVGT500]

Well if it brings the Mustang down under I have no complaints

[Buntz]

Originally Posted by FPVGT500

Well if it brings the Mustang down under I have no complaints

More than likely to be based off of Falcon's underpinnings. A Falcon with an 2.0L EB-14, 3.5L EB-V6, 3.7L NA V6, and 5.0L Coyote V8.

Mullaly wants Lincoln to take on Lexus, BMW, and Mercedes (The best). So naturally a sports saloon with a Ford flavour would have to come to bare. Falcon is the closest thing (and most advanced in terms).

[banarcus]

It was always a question of when not whether.

Sad for Australian Ford enthusiasts and Australian built cars. Sad for the guys and girls who work for all of the Australian motor vehicle industry.

Australian Ford enthusiasts and consumers are the ones to blame for this. If the Falcon is/was good enough why did they not buy one and bought an imported car instead? I can say that I can share that blame for buying a Commodore SS but I can at least say that Ford didn't have anything with a V8 at the price that we bought the Holden for.

[Brazen]

Originally Posted by banarcus

Australian Ford enthusiasts and consumers are the ones to blame for this. If the Falcon is/was good enough why did they not buy one and bought an imported car instead? I can say that I can share that blame for buying a Commodore SS but I can at least say that Ford didn't have anything with a V8 at the price that we bought the Holden for.

I dont think you can ever blame the consumer..

FG was released looking like a BFII, it was old before its time as the graphics and proportions are almost identical to the model which had roots back to 2002.

Marketing was and continues to be appalling.

Its sedan only - almost an automatic death sentence for vehicles between $30k to $50k.

No desirable V8 luxury and sports versions (excluding FPV).

Competing against Mondeo in the same showroom.

G series naming which means nothing in the market and in my opinion not made up for lost Futura, Fairmont and Fairmont Ghia sales.

Feature content continues to lack a little.

[greens_tuf]

Originally Posted by Brazen

I dont think you can ever blame the consumer..

FG was released looking like a BFII, it was old before its time as the graphics and proportions are almost identical to the model which had roots back to 2002.

Marketing was and continues to be appalling.

Its sedan only - almost an automatic death sentence for vehicles between $30k to $50k.

No desirable V8 luxury and sports versions (excluding FPV).

Competing against Mondeo in the same showroom.

G series naming which means nothing in the market and in my opinion not made up for lost Futura, Fairmont and Fairmont Ghia sales.

Feature content continues to lack a little.

I agree with Brazen,

It's not a simple market anymore... You're not just competing against other large cars but also medium cars and soft roaders like the CX7.

I'm in the market for a family car (we have our first child on the way) and I've been looking at Territory's, XR6's, G6E's, and the Mondeo Titanium.

I like the G6E, but for a luxury car I find that it is lacking in its trims and extra luxury features. A friend bought a Honda Accord Euro Navi 2011 demo for $38,000 last week, just looking at the features and interior (on paper and photos) it looks like it is a better luxury package than the G6E.

I think the thing is, if I was to pick up a demo G6E and compare it to the Honda Accord, from a non car person's point of view (obviously totally different in the engine and drivetrain department) you seem like you are getting more value for money in the features and luxury department and a better finish buying the Honda...

For example they could change little things like the hard textured plastic in the Falcons, you'd think that they would change it for the G6E instead of carrying it on from the base model.

[dimka100]

You know when I bought my first Australian made car back in the year 2000 - a Mitsubishi Magna - it offered a number of standard features that at the time were simply not available in small/medium cars unless you paid large car prices for them (e.g. cruise control, automatic windows, alloy wheels) so it made sense to buy Australian ... but these days when i'm looking at the cheaper small/medium cars I can see they come with features that are simply non existent in a Falcon even if you spent 80K on the top of the range model. They are simply 10 years ahead on technology and that is simply not acceptable in most peoples opinions.

Why should someone fork out 55K for a supposedly luxurious G6ET when its lacking many features found in 30K small/medium Japanese/Korean cars ??? I'm sorry to say this but the market has long lost the attraction of big powerful engines and rear drive to save the day ...

Originally Posted by banarcus

Australian Ford enthusiasts and consumers are the ones to blame for this. If the Falcon is/was good enough why did they not buy one and bought an imported car instead? I can say that I can share that blame for buying a Commodore SS but I can at least say that Ford didn't have anything with a V8 at the price that we bought the Holden for.

[Rodge]

Originally Posted by dimka100

You know when I bought my first Australian made car back in the year 2000 - a Mitsubishi Magna - it offered a number of standard features that at the time were simply not available in small/medium cars unless you paid large car prices for them (e.g. cruise control, automatic windows, alloy wheels) so it made sense to buy Australian ... but these days when i'm looking at the cheaper small/medium cars I can see they come with features that are simply non existent in a Falcon even if you spent 80K on the top of the range model. They are simply 10 years ahead on technology and that is simply not acceptable in most peoples opinions.

Why should someone fork out 55K for a supposedly luxurious G6ET when its lacking many features found in 30K small/medium Japanese/Korean cars ??? I'm sorry to say this but the market has long lost the attraction of big powerful engines and rear drive to save the day ...

Much as I love my car when you look at some of the latest technology including the optional equipment in a 2012 Ford Taurus http://www.ford.com/cars/taurus/trim/?trim=sho#viewAll (click on the view all button), I start to wonder if a 2016 Ford Taurus SHO with a little bit of local suspension development would be such a bad thing ?... especially if consumers can reap some reward from the efficiencies of global production.

[Polyal]

Its certainly NOT the consumers fault...through lack of budget, lack of forethought, or crap management (eg TDI Tez delay) there are plenty of other factors.

You cannot blame people for looking elsewhere, Fords job is to entice us, not for the public to swear on some oath to buy local regardless.

FoA can do things right, they have done before and will do into the future. The Territory is a pretty clear example of this. Perhaps the call to chase a segment (SUV vs Sedan) was made, you would have to say the SUV path is much safer. The catch for FoA is no sedan = no SUV. Egg or chicken?

[Road_Warrior]

Here's a different slant from GoAuto as opposed to that crap from Jiz Spanks:

http://www.goauto.com.au/mellor/mell...25797C001155EA

FOUR-CYLINDER and LPG availability, as well as improved value in a new-look package, promise to arrest the Ford Falcon’s sales slide in 2012, despite its poorest-ever sales result of just 18,741 sales last year.

This is according to self-professed optimist and Ford Asia Pacific and Africa president Joe Hinrichs, speaking to the Australian media at the eve of the Delhi Auto Expo in India this week.

However, with questions raised about whether Ford can sustain the Falcon at its current annual sales rate in Australia over the next few years, the long-term future of Falcon is still up in the air.

The veteran Ford executive also said the Territory had the potential to ‘bounce back’ stronger than the venerable large sedan.

“At the current investment cycle we’re in we (can sustain Falcon) ... (but) we will have more to say over time about that,” he said.

“But it is a very important part of the product sales portfolio and we haven’t lost sight of that.”

Ford says the absence of a dedicated LPG model for more than half of the year had hurt Falcon sales in 2011, particularly to the all-important fleet market.

“We’re continuing to invest in Falcon … and it is a very important part of the Ford portfolio,” he said.

“I am aware of (its 36.5 per cent sales slide in 2011) ... but the segment got smaller and our share of the segment got smaller.

“We made a conscious decision not to participate on some parts of the segment that weren’t as attractive to us.

“But in some of the fleet (business) we have to do better. The interesting thing about Australia is that the newer product (like Fiesta and Focus) is doing better, but the Falcon (sales performance) offsets that.

“So the most important thing we have to do is shore up that Falcon and Territory sales rate and continue to grow the incremental product that we are investing in.

“I think you’re starting to see – albeit in lower numbers that we like – a stabilisation of the volume of the Falcon, and with the new Ranger and Focus and the freshening of the Territory and eventually the EcoSport … I think we have the potential to start seeing the end of the decline.

“It has been largely been driven by Falcon, but that can only continue for so long.

“Call me an optimist, but I think with the combination of where we are on Falcon and what we’ve done with Territory, the EcoBoost is coming to Falcon and it is a very exciting proposition … and (with all the others) I think we can stop the market share loss.

“We’d like to (see a large car) rebound, but we don’t know where the segment will go. The segment has declined faster than we expected it to decline ... but at some point it stabilises but you don’t know when. “I think Territory has more potential for rebound than Falcon, to be pragmatic about it.

“But we will see how EcoBoost performs with Falcon because I think it is a great opportunity for people to get back into the seat of the car and drive it.”

It would seem he is pretty excited about Ecoboost in a Falcon.

[Road_Warrior]

And one from Carsguide

http://www.carsguide.com.au/news-and...t_drop_falcon/

There is no plan to back away from the Ford Falcon in Australia.

Despite the worst showroom performance in the car's history during 2011. Sales of the family-sized Ford fell to just 18,741 cars last year, less than a quarter of its all-time high of 81,000 in 1985.

The poor performance comes after three years when Falcon sales hovered around 30,000 cars, and is a 36.5 per cent fall over the result for 2010 despite the late arrival of a facelifted FG model towards the end of last year and plans for a four-cylinder model this year.

"There is no impact. In fact, we just launched the new FG Series II," the sales and marketing director of Ford Australia, Brad Brownell, told News Limited.

"We're putting our money where our mouth is, and investing in the future of this product. I see that the glass is half full. I'm positive."

Brownell's comments come despite bad news from India, where Ford's global product chief Derrick Kuzak has cast doubt on the future of the Falcon and Territory beyond the current model cycle at the opening of the Dehli motor show.

The Falcon's result came at the announcement of the official VFacts sales figures for 2011, which saw an overall total of 1,008,437 deliveries for the year. The result was a 2.4 per cent drop over 2010 but still only the fourth one-million year on record, with a similar total forecast for 2010.

Toyota was confirmed as overall number one for the nighth straight year and the biggest change was the end of the Holden Commodore's 15- year run as Australia's favourite car. It was unseated by the Mazda3, by just 812 sales, as Australians continued to desert big cars in favour of more fuel-efficicient compacts.

"While Australians keep buying more cars, the cars they buy are getting smaller. The demand for sport utility vehicles was up again - an increase of 3.8 per cent - which is a phenomenal result suggesting that Australians are embracing SUVs as the new family car," said Ian Chalmers, chief executive of the Federal Chamber of Automotive Industries.

[Road_Warrior]

Aaaand another from Carsguide:

http://www.carsguide.com.au/news-and...ack_the_falcon

Ford US will back the Falcon

* By Neil Dowling
* The Sunday Mail (Qld)
* 05 January 2012


Hinrichs won’t be drawn into discussing a possible replacement of Falcon with an imported, front-wheel drive sedan.

“Don’t underestimate the importance of Falcon and Territory to us,’’ he says at a Carsguide interview at the opening of the 2012 Delhi motor show where Ford unveiled a new Fiesta-based SUV.

While Hinrichs supports the Falcon and says “it’s a great car’’, he is acutely aware that a sub-20,000 sales figure may not be tolerated for long.

“At the moment, at our current investment in Falcon, we can sustain the sales of Falcon,’’ he says. “Not forever, however, but at this moment it is sustainable."

“It’s still an important part of our company. We have invested in Falcon and have the EcoBoost model coming, and we have substantially upgraded Territory.’’

Mr Hinrichs blames the fall in Falcon sales to issues including the shrinking large car segment “and our share of that getting smaller’’, and a need for it to “do better’’ with its fleet business.

“Overall, Ford sales (in Australia) have done well,’’ he says. “But Falcon sales have eroded these improvements. We have to shore up Falcon and Territory and grow the products. That will come via product such as the EcoSport (SUV).

“I think you’ll find a stabilisation of Falcon sales. We have the potential to see the end of the decline. Falcon sales can only continue to fall for so long.’’

But Mr Hinrichs admits that he “doesn’t know where the (large car) segment is going to go. People are looking for alternatives and I think that Territory has more potential to rebound than Falcon.’’

[Buntz]

Originally Posted by Road_Warrior

Aaaand another from Carsguide:

http://www.carsguide.com.au/news-and...ack_the_falcon

Read the comments below the story.

Oh the pain.

[jpd80]

I think that the Ford brass have put Broadmeadows on notice, everything hinges on EcoLPI and Ecoboost performance.
Two decisions are now imminent, the post 2015 car and local manufacturing - both are linked.
I bet the decision gets put on hold for another few months (just to be sure) before they pull the lever...

Could the next large car be a collaboration and built in Thailand so that other parts of FAPA can share it...

Watch this space...

[Rodge]

Originally Posted by jpd80

I think that the Ford brass have put Broadmeadows on notice, everything hinges on EcoLPI and Ecoboost performance.
Two decisions are now imminent, the post 2015 car and local manufacturing - both are linked.
I bet the decision gets put on hold for another few months (just to be sure) before they pull the lever...

Could the next large car be a collaboration and built in Thailand so that other parts of FAPA can share it...
Watch this space...

Five of the top six cars in the December sales are small cars. These new technologies are great but the real trouble is people want cars that are not only cheap to run but they're cheap to buy in the first place.
The writing is sadly on the wall for all to see...not happy about it but just being a realist.

[Buntz]

Originally Posted by jpd80

I think that the Ford brass have put Broadmeadows on notice, everything hinges on EcoLPI and Ecoboost performance.
Two decisions are now imminent, the post 2015 car and local manufacturing - both are linked.
I bet the decision gets put on hold for another few months (just to be sure) before they pull the lever...

Could the next large car be a collaboration and built in Thailand so that other parts of FAPA can share it...

Watch this space...

It might be possible then we keep our Falcon.... but that after 2016 it'll wear a Lincoln Badge.

[2011G6E]

Originally Posted by Polyal

Its certainly NOT the consumers fault...through lack of budget, lack of forethought, or crap management (eg TDI Tez delay) there are plenty of other factors.

You cannot blame people for looking elsewhere, Fords job is to entice us, not for the public to swear on some oath to buy local regardless.

That's what advertising is for...Ford themselves hammer the hell out of Fiesta, Focus, and Mondeo, while ignoring Falcon and Territory. They're almost thier own worst enemy.

Originally Posted by Brazen

I dont think you can ever blame the consumer..

FG was released looking like a BFII, it was old before its time as the graphics and proportions are almost identical to the model which had roots back to 2002.

Marketing was and continues to be appalling.

Its sedan only - almost an automatic death sentence for vehicles between $30k to $50k.

No desirable V8 luxury and sports versions (excluding FPV).

Competing against Mondeo in the same showroom.

G series naming which means nothing in the market and in my opinion not made up for lost Futura, Fairmont and Fairmont Ghia sales.

Feature content continues to lack a little.

All very good points. Not sure about the V8s'...given harder economic times and the simple fact that even given pretty good economy out of new V8's, you're still lumbered with much higher running costs in rego and insurance, and people take notice of that kind of thing.

[Road_Warrior]

There is little doubt from the various press articles that Dearborn is paying close attention to how the Falcon and FoA are performing. It would indeed seem that Ecoboost (moreso than LPI) is going to be the catalyst for pulling down the curtain on the Falcon.

But I don't agree Falcon and local manufacturing are linked - Falcon can fall and another vehicle can be produced here, it would simply be a case of reconfiguring the plant and tooling to do it. Moreover, the situation with Ford Australia is unique in that they are being used as a regional (if not global) hub for product development and have the built-in aspect of being able to assemble cars here, and the obvious spin off benefits that brings to product development.

[EASYBOSS]

OK, well it will be a Bummer to see the Falcon goes, but here is what may surprise some of you, espically as the owner of an F6X, if the Terry does go, I dont mind as long as we can have the new 2012 or will be later Exolorer, I rented one in the US a just a month ago, man was I impressed, and it had 3 rows of seats, 20's are standard

[Grunter]

A lot of styling cues in the new Territory that look like they come from the Explorer. I wonder if the SZ design hints at the Explorer being a replacement option here in OZ in a couple of years time.

[05_ENFORCER]

Absolutely love it. Merge the tail lights into the tail gate, SC 5.0, 8 spd ZF and we have a winner


.

[HSE2]

J Mays has told these idiots that he will comment on the future of Falcon after a couple more shows. That was Frankfurt 2011 which makes Detroit 2012 the likely announcement from Ford on the direction and strategy of the LWB program. Fields backed that statement.

[Joe5619]

Originally Posted by HSE2

J Mays has told these idiots that he will comment on the future of Falcon after a couple more shows. That was Frankfurt 2011 which makes Detroit 2012 the likely announcement from Ford on the direction and strategy of the LWB program. Fields backed that statement.

Agreed.. I mean, they where at a show to announce a completely different car & they are trying to talk Australian Falcon.. Give me a break!!

[Road_Warrior]

Originally Posted by Joe5619

Agreed.. I mean, they where at a show to announce a completely different car & they are trying to talk Australian Falcon.. Give me a break!!

But this is what these mung beans do, and the Ford top brass have got the sh!ts on with it. Even Mullaly took a swipe at them last time for being so single minded and frankly, annoying.

Originally Posted by 05_ENFORCER

Absolutely love it. Merge the tail lights into the tail gate, SC 5.0, 8 spd ZF and we have a winner


.

lol, wut

Tail lights?

Tailgate?

Winner?




Bueller?

[05_ENFORCER]

Originally Posted by Road_Warrior

But this is what these mung beans do, and the Ford top brass have got the sh!ts on with it. Even Mullaly took a swipe at them last time for being so single minded and frankly, annoying.



lol, wut

Tail lights?

Tailgate?

Winner?




Bueller?

HaHa, sorry I was just dreamin

post 43 3rd picture rear of the US Explorer

The posts were coming in thick and fast by the time I commented on post 43


.

[HSE2]

Originally Posted by Joe5619

Agreed.. I mean, they where at a show to announce a completely different car & they are trying to talk Australian Falcon.. Give me a break!!

And from memory when Mays made that statement it was followed with you guys (Aust media) are tenacious on this subject!

[b055m4n]

David Bowie !!!!