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Russia: Ford Making Future Plans
04.24.2010 14:22

Ford Making Future Plans Just the Facts:

  • Looking to increase its Russia market share, Ford is considering launching new models or creating a new car in a cooperative effort with local manufacturers.
  • In January/February 2010, Ford's Russia sales were down 59 percent.
  • The Ford Focus is one of the most popular foreign cars in Russia.

Ford is considering ways to strengthen its presence in Russia, and among the possibilities could be developing a new car especially for the Russia market, according to Ford Russia's Managing Director Mark Ovenden. Ford already has its own assembly plant in Vsevolozhsk (Leningrad Oblast), near St. Petersburg.

Ovenden said that the company is considering three ways of further development in Russia: continuing production of the Focus and Mondeo, launching production of some new cars of its own design and creating a new car in cooperation with local manufacturers.

Ovenden added that several state programs aimed at supporting the demand for new cars in Russia have already yielded positive results, helping Ford significantly increase its Focus sales in the country.

According to the Association of European Businesses, in January/February 2010 Ford's sales in Russia were down 59 percent. Russia's "Cash for Clunkers" program should help: Ford has received more than 1,000 orders for new cars since it started in early March. The program regulations state that only Russia-made Ford models are eligible.

Ford's Russia plant was launched in 2002. It employs 2,000 and specializes in the production of the Focus (one of the most popular foreign cars in Russia) and Mondeo. Production capacity of 125,000 units is set to be achieved by 2012-'13.

Inside Line says: Ford looks to the future in Russia.

News source: Edmunds' Inside Line
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