The Ford Motor Corp posted its latest financial results on Wednesday which showed a 9.8% decline in quarterly domestic vehicle sales. The second-largest vehicle manufacturer in the U.S. sold 542,749 vehicles in the fourth quarter; a stark decline from 601,862 during the previous year.
At the root of this significant decline is the automaker’s truck sales, which posted a 12.5% decline. The worst performers by far were Ford’s passenger car sales which fell by a whopping 41.1% this year. This underwhelming performance is largely attributed to Ford’s decision to phase out traditional sedan models in North America, as these vehicles are declining significantly in popularity.
The silver lining is that Ford’s SUV sales rose by 4% to 216,732 units. Andrew Frick, Vice President at Ford’s sales in the United States and Canada, explained that the automaker’s latest financial results indicate a consumer shift away from cars as demand for SUVs, trucks, and electric vehicles continue to be on the rise.
Ford’s underwhelming financial results pose great concern to the company, particularly since so many of the vehicle manufacturer’s competitors have enjoyed strong financial performances as of late. GM announced a 4.8% rise in sales during the fourth quarter, while Toyota Motor Corp’s and Volkswagen AG’s sales rose by 9.4% and 10.8%, respectively.
