Ford in the Chinese market
In 3Q17, Ford’s Asia-Pacific region revenue inched up, and the region also contributed positively to the company’s third-quarter profits. On the negative side, Ford’s market share in the Chinese market fell to 4.2% in 3Q17 compared to 4.6% in 3Q16.
Brand-wise Chinese sales in December
In December 2017, the Chinese vehicle sales (IYK) performances of Ford’s key brands were as follows:
- Sales of the company’s key brand, Changan Ford Automobile, fell 12% YoY (year-over-year) to 102,000 units in December. However, this was much higher than Changan Ford’s November sales of 84,000 units. In 2017, total Changan Ford brand sales fell ~14% YoY to 827,000 vehicles.
- Chinese sales of the JMC brand remained negative in December, falling 6% YoY to 30,000 vehicle units. In November, ~26,000 units of the JMC brand were sold. Nevertheless, the brand’s Chinese sales rose ~11% YoY to 293,000 units in 2017.
- About 6,030 units of Lincoln luxury brand vehicles were sold in China last month, a rise of 41%. The Lincoln brand’s sales also rose sharply by 70% YoY in November. With this, the company sold 54,000 vehicle units of the luxury brand in China last year, up ~66% YoY.
- In December 2017, Chinese sales of Ford’s imported vehicles, which included the Mustang, Explorer, and Focus models, fell 24% YoY to 1,532 vehicles. Despite falls in the last two consecutive months, 2017 sales of these imported vehicles still rose 7% YoY to 19,000 units.
Note that major automakers such as Ford, General Motors (GM), Toyota Motor (TM), and Fiat Chrysler Automobiles (FCAU) primarily sell their vehicles in the Chinese market through their joint ventures with local Chinese auto companies. This strategy also helps these global auto companies to better understand the local market and consumer base of the country.
Next, we’ll look at GM’s Chinese sales in December 2017.