2006 Ford E-150 Cargo Van Xl 4.6 V8 W/ Racks Runs Great Simple Service Work Van on 2040-cars

Auto blog

Rising aluminum costs cut into Ford's profit

When Ford reports fourth-quarter results on Wednesday afternoon, it is expected to fret that rising metals costs have cut into profits, even as rivals say they have the problem under control. Aluminum prices have risen 20 percent in the last year and nearly 11 percent since Dec. 11. Steel prices have risen just over 9 percent in the last year. Ford uses more aluminum in its vehicles than its rivals. Aluminum is lighter but far more expensive than steel, closing at $2,229 per tonne on Tuesday. U.S. steel futures closed at $677 per ton (0.91 metric tonnes). Republican U.S. President Donald Trump's administration is weighing whether to impose tariffs on imported steel and aluminum, which could push prices even higher. Ford gave a disappointing earnings estimate for 2017 and 2018 last week, saying the higher costs for steel, aluminum and other metals, as well as currency volatility, could cost the company $1.6 billion in 2018. Ford shares took a dive after the announcement. Ford Chief Financial Officer Bob Shanks told analysts at a conference in Detroit last week that while the company benefited from low commodity prices in 2016, rising steel prices were now the main cause of higher costs, followed by aluminum. Shanks said the automaker at times relies on foreign currencies as a "natural hedge" for some commodities but those are now going in the opposite direction, so they are not working. A Ford spokesman added that the automaker also uses a mix of contracts, hedges and indexed buying. Industry analysts point to the spike in aluminum versus steel prices as a plausible reason for Ford's problems, especially since it uses far more of the expensive metal than other major automakers. "When you look at Ford in the context of the other automakers, aluminum drives a lot of their volume and I think that is the cause" of their rising costs, said Jeff Schuster, senior vice president of forecasting at auto consultancy LMC Automotive. Other major automakers say rising commodity costs are not much of a problem. At last week's Detroit auto show, Fiat Chrysler Automobiles NV's Chief Executive Officer Sergio Marchionne reiterated its earnings guidance for 2018 and held forth on a number of topics, but did not mention metals prices. General Motors Co gave a well-received profit outlook last week and did not mention the subject. "We view changes in raw material costs as something that is manageable," a GM spokesman said in an email.

Ford builds two-millionth EcoBoost engine

Ford's EcoBoost engine lineup is only four years old, but it is growing into an important and popular global engine. As proof of its popularity, Ford just produced its 2 millionth EcoBoost engine - a 2.0-liter inline four-cylinder - which rolled off the assembly line in Louisville, Kentucky under the hood of an Escape.
Ford now offers five EcoBoost engines around the world ranging from the 1.0-liter inline-three to the twin-turbo 3.5-liter V6, and the automaker is expanding production of two of its engine lines to keep up with demand. Earlier this year, Ford announced that the 2.0-liter EcoBoost would be built in Cleveland, Ohio starting in 2014 and, more recently, Ford said that it will be doubling production of the 1.0-liter EcoBoost in Germany. That turbo-three will also be produced in China at a new Ford engine plant in Chongqing.
Scroll down for Ford's full press release on this EcoBoost production milestone, including a breakdown of where all the engines were made.

Hennessey completes first VelociRaptor SUV conversion [w/video]

Start with a Ford F-150 SVT Raptor as your base vehicle for modification, and chances are high that you'll end up with something pretty cool. Now, have those modifications done by professional lunatics Hennessey Performance, make the project turning the pickup into an ultra-long SUV, and the result stands a real chance of being a total kick in the ass. Let us present the Hennessey VelociRaptor then, in all of its awesomeness.
Hennessey has taken care in grafting a "Expedition style" rear cabin onto the Raptor, complete with an optional third row. The pictures we have show a cabin that's up to the fit and finish standards of the original Ford truck, too. The cab added over the bed also makes room for a massive load space out back, accessible via split out-folding doors and long enough for a person to lay down in (see video).
Mechanically, the truck-turned-SUV sticks with Ford's stock 6.2-liter V8, rated at 411 horsepower, or can be had with a supercharger and some 600 hp. Hennessey says the stock-motor VelociRaptor will run from 0-60 miles per hour in 7.5 seconds, while the hi-po version takes just 5.9 seconds. The SUV does take some of the off-road ability away from the Raptor, with the company saying it hasn't yet had the opportunity to test its capabilities. On-roading and "moderate off-road duties" are the current prescription.