Ford’s China Sales Surge 73% as Restructuring Plan Takes Hold

Ford Motor Company (NYSE: F) said today that it sold nearly 154,000 vehicles in China in the first quarter, up 73% from a year ago, as the company continued to rebound from business missteps and the COVID-19 outbreak in early 2020.

Ford’s sales in China have now increased year over year for four straight quarters, a sign that the turnaround plan implemented by the company’s China chief, Anning Chen, is taking hold.

Chen joined Ford from Chinese automaker Chery Automobile in October of 2018, after several quarters of sales declines. Chen’s aim since taking the reins has been to overhaul Ford’s products and business to better align with Chinese consumers’ expectations. He said that the growth streak is just a beginning.

“We intend to fully build on these four consecutive quarters of sales growth to meet rising Chinese consumer demand with our ‘Best of Ford, Best of China’ strategy,” Chen said in a statement.

Familiar Ford and Lincoln SUVs like the Explorer are doing well with Chinese consumers. Image source: Ford Motor Company.

Most of Ford’s product line in China would be familiar to Americans, but not all. The company has focused on sales of Lincoln luxury vehicles (particularly crossover SUVs) and familiar Ford-brand crossovers, with a few added models that are unique to the Chinese market.

The locally made Lincoln Corsair and Aviator SUVs helped drive a 217% year-over-year gain for the Lincoln brand, with sales of about 19,300. Ford-brand sales rose 44.7% as its SUV sales roughly doubled, led by the Explorer, Escape, and Edge, and a new China-only SUV model called the Equator.

Rival General Motors (NYSE: GM) said on April 6 that its sales in China rose 69% from the first quarter of 2020.

10 stocks we like better than Ford
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*

David and Tom just revealed what they believe are the ten best stocks for investors to buy right now… and Ford wasn’t one of them! That’s right — they think these 10 stocks are even better buys.

See the 10 stocks

*Stock Advisor returns as of February 24, 2021

John Rosevear owns shares of Ford and General Motors. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

You May Also Like

About the Author: Over 50 Finance