Ford posts poor China earnings

Source: Xinhua | 2018-07-27

Ford Motor Company has vowed to “take urgent action to address under-performance” in the Chinese market as the US auto maker reported a sharp decline in overall profits in the second quarter.

Net income was US$1.1 billion, US$900 million less than the same period earlier, according to its latest earnings report released on Wednesday.

Fire at one of Ford’s supply plants in the US and under-performance in China were believed to be two main factors which led to the almost 50 percent decrease in profits.

Ford said that in the Asia-Pacific region, it is now focused on China and taking urgent action to address under-performance.

“This includes improving cost competitiveness with aggressive fitness actions and localizing more products in China, as well as recruiting more local talent to key management positions,” said the auto maker.