As Mr. J Mays emphasized today, China’s auto industry has become an extremely important market.
It has already become the world’s largest auto industry and it is expected to double in size in a few years. A number of major foreign brands are beginning to build factories in China to win the dominant position, and Ford is one of them. Alan Mulally, the chief executive at Ford, spent substantial amount of his time on matters related to China few years ago. As one of the latecomers to the Chinese market, Ford has a long way to make up in China. Ford has about 3% of the Chinese market whereas VW has 18.2% and GM puts its share at 14.6% in 2012. Ford is planning to spend $5 billion to build five plants in China to increase its market share. It will also launch the Lincoln brand in China in 2014.
They entered China’s industry by working together with Changan Automotive Group (Changan Ford.) The first car, the Ford Fiesta, was launched in 2003, followed by the Ford Mondeo in 2004.
Mr. Mulally said in an interview with Shanghai auto show,”The entire team is spending more and more time in Asia-Pacific.”
With their effort, there are some good news. Analysts predict that Ford’s market share can reach up to 6 % of sales in 2015. Ford began their long endurance race, but as they focus more in China, Ford hopes to do better in the future.