(Posted on Apr 30, 2019 at 09:49AM by Danielle Smyth)
With its strategy of improving European sales by discontinuing underperforming product lines, Ford Europe has decided to discontinue production of its entry-level European car, the Ka+, in September 2019, although it will be available until supply runs out.
By focusing on three business groups (commercial vehicles, passenger vehicles, and imports) and only its best performing lines, Ford Europe avoids penalties for CO2 emissions being imposed in Europe in 2020. Those penalties would have negatively impacted the base price of the Ka+.
The entry-level Ka+ was priced at £4,000 less than the base Fiesta in Europe, but still had trouble competing against the Renault Twingo and the Renault/Romanian subsidiary Dacia Sandero. While the Dacia Sandero is larger than the Ka+, it’s also cheaper. Whether Ford Europe will discount the Ka+ to get rid of inventory or not isn’t known. But that leaves the Fiesta as the entry-level European Ford, and that may mean producing a cheaper Fiesta with fewer features to get the price down.
Ford Europe has already announced the discontinuation of the C-Max in Europe and job cuts in the UK and Germany, and is closing two assembly plants and an engine factory in Russia that it operated jointly with Ford Sollers.
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