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On November 30, 2023, Changan Ford's first hybrid sedan, the Mondeo Hybrid Edition, was officially launched with a starting price of 189800 yuan.
Nowadays, Ford seems to be trying a localized "two legged approach" after its self operated electrified products have failed in the Chinese automotive market: on the one hand, it is promoting new energy through Changan Ford, and on the other hand, it is introducing off-road series products such as pickup trucks through Jiangling Ford. Meanwhile, the high-end brand Lynken is continuing to explore the path of independent development.
In terms of sales, although Ford China has slightly declined compared to 2022, it has shown an overall upward trend in 2023. From January to October, Changan Ford, Jiangling Ford, and Lincoln Motors respectively achieved new car sales of 114100 units, 31100 units, and 51900 units.
In the context of electrification and intelligence, Ford China is actively promoting reforms, but there still seem to be certain challenges.
Strengthen local cooperation and introduce more sincere new cars
Ford's important attempt at electrification transformation in China is to introduce electric horses into domestic production around 2021. But this pure electric product was not handed over to Ford's partners in China, but a separate marketing and communication system was established.
But the final sales performance of this product was not outstanding, and Ford China also gave up its plan to operate independently and handed over the electric horse to Changan Ford in 2023.
Although the electric horse did not achieve a good start, the reputation of this car in the market and major media ratings is relatively good. Previously, it also provided users with free upgrades to chips and operating systems.
After the collapse of the electric horse, Ford China quickly adjusted its strategy and recognized the strength of Chinese cars in the fields of new energy and intelligence. On October 11, 2023, Changan Ford New Energy Vehicle Technology Co., Ltd. was officially established. Changan Ford stated that the company will explore the development of new energy passenger vehicles and the distribution business of Ford's mainstream brand electric vehicle models, accelerating Changan Ford's electrification transformation.
Meanwhile, Yang Dayong, Executive Vice President of Changan Automobile Co., Ltd. and Executive Vice President of Changan Ford, also serves as Chairman and President of Changan Ford New Energy Vehicle Technology Co., Ltd.
In addition, in terms of localized products, Ford China has successively launched hybrid Mondeo and hybrid Ruijie L with the help of Changan Ford. At the same time, the prices of vehicle products are also more competitive, and the price of the Mondeo, positioned as a mid size sedan, has been lowered to 149800 yuan. This is already a mid size sedan market for many domestic brands.
Changan Ford accelerates electrification here, while Jiangling Ford accelerates the introduction of "flagship products" over there.
Jiangling Ford has completed the establishment of a new channel brand, Ford Beyond, which will gradually introduce fuel powered off-road models to the Chinese market.
It is reported that the Ranger pickup truck has been introduced by Ford Zongheng, and global models such as Ford's classic models Branco and F150 may also meet with Chinese consumers in the future.
In the development process of the automotive industry, Branco, F150 (Raptor), and Ranger are highly regarded products by many off-road enthusiasts. For example, the Ranger model has been sold in over 180 countries worldwide, with over 8 million units sold worldwide. At present, the all-new Ford Ranger has started pre-sales at the Guangzhou Auto Show, with a gasoline version pre-sale guide price of 158800 yuan to 240800 yuan.
As an important participant in Chinese pickup trucks, the Great Wall Cannon under Great Wall Motors has a similar price to Ranger's pre-sale price.
The Lincoln brand, which leans towards luxury, launched a hybrid Navigator within the year.
Overall, Ford China has focused more on local partners such as Changan Automobile and Jiangling Automobile after collecting the unsuccessful experiences of independent operation of electric horses. The launch of a series of new strategic plans and product lines has also given the brand more stories to tell and expectations for the future.
The year-on-year sales have declined, and the transformation speed may still need to be accelerated
Behind the active transformation, Ford China has not been successful in the new wave of electrification and intelligence. Taking Ford's first pure electric model, the electric horse, as an example, which entered the Chinese market, the new car is priced at 249900 to 369900 yuan, but its monthly sales are only in three digits. The sales in September and October were less than 100 vehicles.
Automotive analyst Zhong Shi stated that the lack of recognition from users towards the brand and products is the reason why the sales of electric horses are not optimistic. But if we focus on Ford's sales performance in recent years, it is an undeniable fact that there has been a slight year-on-year decline.
Nowadays, Ford is trying to find a unique path in the Chinese market, but how to win users for its personalized products remains a challenge.
Zhong Shi believes that currently, Ford's sedan business in the global market is gradually declining, and models such as the Focus are being phased out. At the same time, the accumulation of electrification and intelligence is limited, and the resources that can supply the Chinese market are somewhat limited.
This prompts Changan Ford to strengthen localized cooperation and research and development in terms of product strength.
On the other hand, Jiangling Ford has gradually introduced more products on the basis of Quanshun commercial vehicles, which also has certain development opportunities.
For Lincoln, the luxury car market it is currently focusing on is also undergoing a reshuffle, and only by continuing to create high-value products can it win users. But currently, the Lincoln brand's popularity has slightly declined, which has also led to a continuous decline in its sales.
In addition, regarding the development of Changan Ford, Changan Ford President He Xiaoqing once stated in an interview with a reporter from Beike Finance that he believes that as a product with high value, large quantity, complex number of parts and various aspects, high degree of industrialization, and long development time, brand accumulation should be more meaningful. With Changan Ford accelerating innovation and adhering to the value of brand accumulation, we believe that consumer brand preferences will gradually return.
Bai Haotian, a reporter from New Beijing News and Shell Finance
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