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Ford will gain market share; GM, Chrysler flat through 2018


mettech

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http://www.freep.com/article/20140609/BUSINESS0104/306090164/Car-Wars-Murphy-Ford-GM-Chrysler

 

"...That fiercely competitive race for each automaker to speed up the introduction of redesigned or new models also ensures fewer large market share swings in the industry, Murphy said.

“This is the first time that there is this small of a dispersion in replacement rates,” among automakers, Murphy said.

Still, among all automakers, Ford is expected to replace 111% of all of its cars and trucksicon1.png over the next four years – the most of any automaker, Murphy said.

That will help Ford to increase its share of U.S. auto sales to about 16.2% by 2018, up from 15.7% in 2013, Murphy said.

Among the Detroit Three, Ford is the only automaker that will gain market share, Murphy predicted..."

 

 

I thought Ford in North America is operating at maximum capacity right now.

 

If so, how can it gain market share per this article?

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Notice he predicted only .5% share increase. F already reached that level one or twice in past years. So to me it's keeping at a stable level with slight increase.

Re. Ford's capacity, KCAP Transit plant has not been included in current volume, then Avon Lake and Oakville are not at capacity yet. Plus they may finally decide to increase import. So there's room for incremental growth.

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I thought Ford in North America is operating at maximum capacity right now.

 

If so, how can it gain market share per this article?

 

I don't think they are quite at maximum capacity yet. The Mustang/Fusion plant has some room for growth I think. Also, I'm thinking KCAP may have a bit of room for increased production as well.

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Not too detailed on his assumptions of Fords market share. What we do know, is Ford has not mentioned a plan to gain market share. Its relying on what it currently holds, and replacing existing products with newer ones is how they plan to keep their market share. And yes there's capacity constraints, but there's options of bringing other vehicles from "OneFord" that could be built at other factories outside the N.A. Marketplace is becoming more fragmented, and we cant fool ourselves into believing they can continue to rely on products with 300-800K unit sales. The F150 has usually remained consistent for years, but the Fusion and Escape will have some very good months, and some very bad months to rely too much on.

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If so, how can it gain market share per this article?

There is excess capacity at some plants, next year with contract negations you'll see investment to either expand capacity at some plants and add product at others. If the MKC takes off Louisville will need a bump, or Escape Volume added elsewhere. Replacing 111% is pretty impressive in 4 years.

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http://www.leftlanenews.com/lincoln-preparing-lineup-expansion-wont-rule-out-mustangbased-model.html

 

In its quest to return to relevance, Lincoln won't stop at redesigning its core models. Instead, the brand is planning to build towards being a full-line luxury automaker, and it's weighing the use of all of parent company Ford's platforms - even the Mustang's rear-wheel-drive architecture - to get the job done.

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It seems nearly every automaker has big growth plans. Toyota, VW and GM all plan 10 million plus sales. Now I see Renault/Nissan will challenge those three in volume. Fiat Chrysler A. plans to add much more market share. Even BYD and Geely are making big claims.

 

Ford is about the only automaker I know of that isn't boasting about growth in market share or volume.

 

People tend to gravitate toward those who embellish but I always put my faith in the humble.

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The funny part is that if every manufacturer increases sales, all benefit but

none of them would necessarily see a significant increase in market share.

 

If I sold 1 car in June 2013 and 10 cars in June 2014 that's a 1000% increase in sales and market share (all else being equal). Do I win?

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It seems nearly every automaker has big growth plans. Toyota, VW and GM all plan 10 million plus sales. Now I see Renault/Nissan will challenge those three in volume. Fiat Chrysler A. plans to add much more market share. Even BYD and Geely are making big claims.

 

Ford is about the only automaker I know of that isn't boasting about growth in market share or volume.

 

People tend to gravitate toward those who embellish but I always put my faith in the humble.

Ford most certainly did, too! Just not recently.

I recall when they announced their 5 year plan (ending in either 2016 or 2017, not sure), they predicted a 50% jump, an increase of more than 2 million units.

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Just glad to see that the Chicago Explorer plant is not 'on the chopping block' as speculated as recently as last year.

Huge plant, amazing when seeing it from the air. It was sad to see the Atlanta plant go away in a similar fashion .

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