Tuesday, February 23, 2010

Ford to launch new Mercury small car in 2011

ORLANDO, Florida (Reuters) - Ford Motor Co (F.N) will launch a new small car for its Mercury brand in early 2011, based on the automaker's new global compact car platform, Ford President of the Americas Mark Fields said on Sunday.

The new Mercury is one of the 10 vehicles Ford is planning for its global small car architecture, that also underpins the upcoming 2012 Ford Focus, and would expand the lineup of the mid-level premium brand long devoid of new products.

The launch also underscores the No. 2 U.S. automaker's support for the brand despite uncertainty in some analysts' views over whether Ford will keep the brand in the long term.

Fields unveiled the plan during a meeting with U.S. dealers at the annual National Automobile Dealers Association convention in Orlando, Florida.

"The trend toward more fuel-efficient vehicles is very important, the trend toward (small) cars in general is coming back. We are responding to that," Fields told reporters after the meeting with dealers.

U.S. sales for the Mercury brand fell 23 percent to 92,299 vehicles in 2009, while the overall market was down 21 percent. The company's flagship Ford brand sold 1.44 million units in the U.S. market in 2009, down 14 percent from a year earlier.

A Ford dealer who attended the meeting said the new Milan was likely to be showcased at the New York Auto Show in March.

FIESTA ORDERS

Ford U.S. sales chief Ken Czubay said dealers can start to order the new Fiesta small car on Monday, months ahead of its launch this summer.

The Fiesta, which could get 40 miles per gallon on the highway and 30 mpg in city driving, brings Ford back to a subcompact segment it abandoned and represents the automaker's big bet that it can drive back to profitability with a new lineup of cars.

More than 6,000 consumers have made reservations for the Fiesta through Ford's online order system, Czubay said.

"It seems to be a home run. And it gave us invaluable feedback from consumers," he said.

Ford also plans to launch a redesigned Focus small car later in 2010.

The only large U.S. automaker not to reorganize under a government-funded bankruptcy in 2009, Ford has forecast a profitable 2010 after posting its first full-year profit since 2005 last year.

Monday, February 15, 2010

Ford Edge to get smallest EcoBoost turbo engine yet

The new Ford Edge, one of the cars Ford credits for helping it grab non-traditional Ford buyers, comes with a brand new engine for the U.S. market. The 2.0-liter four-cylinder engine, with direct fuel injection and a single turbocharger, will give the Ford Edge with EcoBoost the ability to deliver the same performance as a current V-6 while delivering best-in-class fuel economy.

While the Edge will come with three engine options, Ford expects more and more drivers will opt for the EcoBoost. By 2013, 90% of Ford's vehicles in North America will be available with EcoBoost, with I-4 engines making up 66% of the EcoBoost lineup.

Currently, Ford's EcoBoost engine is in the Ford Taurus SHO, Lincoln MKT and MKS and the Ford Flex -- all of which are V-6 engines. And it's an engine Test Drive loved:

The Edge EcoBoost is a turbocharged four-cylinder, a completely new application of the technology.

Ford will likely keep reinventing the EcoBoost engine, since it's helping the automaker bring in younger, more affluent customers, says Amy Marentic, Ford group marketing manager. And, she notes, those buyers often trade in a competitor's car to buy a Ford with EcoBoost.

The automaker didn't give a fuel-economy estimate for the new engine, but critics had been disappointed with the Edge's initial fuel economy: It got a combined 19 mpg in city and highway driving, according to the U.S. Department of Energy.

2011 Ford Explorer to get 4-cylinder EcoBoost

Earlier today, FoMoCo unveiled the 2011 Ford Edge, the first Ford model in North America to get the company’s new 2.0L EcoBoost I-4 powertrain. During the unveiling at the 2010 Chicago Auto Show, Ford said that the upcoming 2011 Ford Explorer will also get the 4-banger EcoBoost when it goes on sale later this year.

FoMoCo will add 1,200 jobs to its Chicago plant for the production of the next-generation Ford Explorer.

The Dearborn automaker announced last month that the next-generation unibody Ford Explorer will deliver at least a 25 percent increase in fuel-economy and that EcoBoost engine technology, a 6-speed transmission and lightweight materials will all be part of the game.

Wednesday, February 10, 2010

Revised Edge crossover features two Ford firsts

Ford Motor Co. is slated to unveil a new version of the Ford Edge at the Chicago Auto Show today, the first freshening of the company's best-selling midsized crossover.

But this update features more than just a different face. As The Detroit News first reported last week, the Edge also will be the first American vehicle to get Ford's new 2.0-liter four-cylinder EcoBoost engine, along with an all-new interior that will be the first to incorporate the new MyFord Touch control system.

"Customers told us how much they like Edge's design and dynamic driving quality," said Ford Americas President Mark Fields. "We listened and made sure the new 2011 Edge delivers that and more -- including fuel economy leadership, unexpected levels of quietness, a strong new design with quality materials, and MyFord Touch driver connect technology that will change how people experience their vehicles."

Ford also will offer a sport version of the Edge powered by a beefier 3.7-liter V-6 that delivers 305 horsepower and 280 foot-pounds of torque.

The base engine will remain a 3.5-liter V-6, but it now gets twin independent variable camshaft timing, or Ti-VCT, and now produces 285 horsepower.

"It's the same approach they took with the Fusion," said analyst Jim Hall of 2953 Analytics LLP in Birmingham, adding that Ford is doing more extensive freshenings of its products than most of its rivals.

But he wondered whether the new EcoBoost would be up to the task. Ford has not released horsepower data yet, but says it will provide about the same power as the current V-6 with a 15 percent savings in gasoline.

"The problem with the Edge is that it's porky," Hall said. "But in light of the new CAFE standards, it's probably a good idea."

Wednesday, February 3, 2010

Feds look at Toyota electronics as source of acceleration defects

WASHINGTON -- The U.S. Department of Transportation is looking into whether Toyota Motor Corp.'s problems with unintended acceleration can be traced to defects in the electronic controls rather than just the mechanical problems cited by the automaker, a Transportation official said today.

“We're not finished with Toyota and are continuing to review possible defects and monitor the implementation of the recalls,” Transportation Secretary Ray LaHood said today in a statement.

When asked whether the federal review includes possible electronic problems with Toyota vehicles, a Transportation official who asked not to be identified responded in an e-mail, “Yes.”

Toyota spokesman John Hanson said he knows little about the expanded federal investigation.

"After many years of extensive testing, we've found no evidence of an electronic problem that could have contributed to unwanted acceleration," Hanson said in an interview. "We've investigated many times and found no evidence to point to."

Since announcing its recalls and a production halt last week, Toyota has maintained that problems with unintended acceleration were limited to floor mat interference and sticky accelerator pedals.

Accusations denied


Shinichi Sasaki, Toyota's vice president in charge of quality, today denied accusations that electronic malfunctions were contributing to the reports of unintended acceleration.

“We have not come across any case in which we have found a malfunction,” Sasaki said in an interview in Japan. “But if any additional reports arise, we will conduct testing using all technology at our disposal.”

Also, in a full-page advertisement that ran in many U.S. newspapers today, Toyota Motor Sales U.S.A. President Jim Lentz said: “We have launched a comprehensive plan to permanently fix the vehicles we've recalled because in rare instances, accelerator pedals can, over time, become slow to release or get stuck. We know what's causing this and what we have to do to fix it.”

But Safety Research & Strategies, a consulting firm, said in a posting on its Web site: “Neither floor mats nor sticking accelerator pedals explain many, many incidents” of unintended acceleration.

Electronics have 'significant role'

“By all appearances, electronics are playing a significant role in the problems," Sean Kane, president of Safety Research & Strategies, said in an interview. The Transportation Department investigation “has needed to happen for some time,'' Kane said.

The investigation should cover 2002-06 Camry cars and 2005-07 Tacoma pickups, both of which have been the subject of numerous consumer complaints suggesting possible electronic defects, he said.

In one case that has raised questions about electronic flaws, Bulent Ezal's 2005 Camry surged over the curb of a restaurant parking lot, lurched 23 feet and careened 70 feet down a cliff into the surf of the Pacific Ocean, killing Ezal's wife, said his attorney, Donald Slavik of Milwaukee.

“His foot was on the brake, floor mats were in position and hooked on, and he was about to shift into park,'' Slavik said. “I'm highly confident it was electronic in nature."

Tuesday, February 2, 2010

Ford to show off greener Edge

Next week, Ford Motor Co. will unveil the 2011 Ford Edge at the Chicago Auto Show -- its latest product freshening and the first to feature a new, four-cylinder version of its fuel-saving EcoBoost engine.

The latest version of Ford's popular midsize crossover also will be the first to feature the company's new MyFord Touch system, which replaces most of the traditional analog gauges, switches and knobs with full-color computer screens and touch-sensitive buttons.

The body of the Edge is new from the windshield forward, but the biggest change is under the hood. In addition to the current 3.5-liter V-6, the 2011 model will offer a 2.0-liter four-cylinder EcoBoost that delivers the same power as a 3.0-liter V-6 with significantly better fuel economy, according to sources familiar with Ford's plans.

"It's a pretty heavy face-lift. It's more than what you'd normally do with a mid-cycle freshening," said analyst Jim Hall of 2953 Analytics LLP in Birmingham who has seen the new Edge. "Usually, automakers just change up some of the plastic."

He said the new front-end is more reflective of Ford's European styling, which is rapidly migrating to most of its U.S. products as the company consolidates its global lineup.

The money saved by that consolidation is what makes major mid-cycle changes like this possible, said analyst Erich Merkle of Autoconomy.com in Grand Rapids.

"They're making the investment in the product, and it shows," he said. "They're making their product cadence a lot faster than anyone else in the industry."

Manufactured at Ford's Oakville Assembly Plant in Ontario, the Edge was seen as a critical vehicle for Ford when it was launched in late 2006 as a 2007 model. Since then, it has become the best-selling vehicle in the midsize crossover segment.

Ford would not comment on the new Edge or on its plans for the Chicago show.

Merkle said the new Edge also will be quieter and more comfortable than the current model.

"Everything you can see, feel and touch will be noticeably better than its predecessor's," he said. "But the underlying architecture will remain the same. It's a good strategy."