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Ford Fusion production scaled back just 3 months after it was accelerated

Three months after kicking off production of the Ford Fusion at its Flat Rock, MI factory, Ford Motor Company is taking steps to trim output in the face of heavily discounted competition from Toyota and a growing supply of vehicles.
The addition of Fusion production in Flat Rock - which also builds the Mustang - was meant to be what pushed the handsome mid-sizer past its arch-nemesis, the Toyota Camry. An extra facility building Fusions was also meant to curb the growing demand for Ford's highly profitable sedan.
But with word that Flat Rock would take "approximately" one extra week off for the holidays combined with an 88-day supply of Fusions - reportedly due in no small part to what Morgan Stanley analyst Adam Jonas called "aggressive discounting of the Camry" - some analysts are now beginning to wonder if Ford may have overextended itself by adding a second Fusion facility to the mix.

Plug In 2014: ALTe ready to join Ford's EQVM to convert, sell F-150 PHEV [w/video]

It's been a while since we've checked in with ALTe and its plans to convert big work vehicles like the Ford F-150 into plug-in hybrids. So, when we saw a demonstration vehicle sitting outside the San Jose Convention Center at the Plug In 2014 Conference last week, we had to get a closer look. When we did, we realized that it's been quite some time since we've been in a Ride & Drive vehicle that was all beat to heck. It's been quite some time since we've been in a Ride & Drive vehicle that was all beat to heck. The reason for the well-worn F-150 with 30,000 miles on it is that ALTe has been showing off its extended-range EV technology to lots of people all around the country, and Kyle Maki has been the man on the scene more often than not. "This one, I've taken all over the country," he told AutoblogGreen. "I've wore out that seat, I think. The only reason this one wasn't driven here was because we were in Charlotte [NC] last week and I didn't want to take a chance and not make it in time for this event." In other words, ALTe is out there, ginning up excitement for the idea of a plug-in hybrid Ford with an electric range of up to 40 miles and which can then continue on gas for another 360 miles at around about 25 miles per gallon. ALTe wants to not only convert new vehicles but it also offers retrofits for fleets that are happy with their current fleet. The company offers converted versions of the Ford E350 and E450 utility vehicles now but the near-mythical F-150 PHEV is still "coming soon." Yes, orders are now being accepted, but you will be forgiven if you think this is all happening on a slow time scale. There are simply a lot of things to do before ALTe can sell the truck. ALTe is currently attempting to join Ford's EQVM program, which is the electric version of the standard Qualified Vehicle Modifiers program. The QVM program requires coachbuilders to "be successfully evaluated by Ford Motor Company on criteria such as engineering, the manufacturing process, quality control, and adherence to Ford and Lincoln Divisions guidelines." Qualified applicants must also meet all applicable Federal Motor Vehicle Safety Standards, conform to Ford/Lincoln conversion guidelines and agree to be inspected annually as well as have a "commitment to continuous improvement." Maki has a simpler explanation. "It basically means you're a preferred supplier, a Tier 1, if you will," he said.

Pickup prices rising at 2x industry average

We've said it before, but bears repeating: Pickup trucks are the financial engines of America's automakers. Good thing, then, that the segment is in rude health - in fact, Automotive News is suggesting that pickup truck sales are arguably healthier than they were pre-recession, even though the segment's volume is still significantly down from where it was before the bottom fell out of the US economy. That's because per-unit profits on full-size trucks are skyrocketing, outpacing the industry's average price increases by more than double since 2005. According to data from Edmunds, the average transaction price of a full-size pickup is now $39,915 - a heady increase over the $31,059 average price in 2005 - a gain of over 8 percent after inflation is factored in.
Just how important are trucks to automakers' bottom lines? Automotive News quotes a Morgan Stanley analyst as saying the Ford F-Series is responsible for 90 percent of the company's 2012 profits, and General Motors isn't far behind, with the Chevrolet Silverado and GMC Sierra twins chipping in about two-thirds of the automaker's earnings.
Automotive News points out that Detroit's automakers now have the money to invest in modernizing their full-size truck offerings, in part because they don't have the same overhead and legacy costs that pushed General Motors and Chrysler into bankruptcy. Certainly, the pickup segment has seen a lot of innovations as of late, including turbocharged V6s, coil-spring rear suspensions and active aero. Those improvements in important areas like fuel economy and ride comfort have given existing pickup buyers new reasons to upgrade. In addition, automakers are piling on the tech and luxury goodies, creating more and more high-content, high-profit models like the Ford F-150 King Ranch, Ram 1500 Laramie Longhorn and Chevrolet Silverado High Country (shown).