Ford Motor(US:F) Bei Jing Shang Bao·2025-09-24 16:24Core Viewpoint - Ford China has announced the establishment of Ford Sales Service Company in Shanghai, merging the sales and service operations of Jiangling Ford and Changan Ford, in response to declining sales and significant losses in the electric vehicle sector [1][6][8] Group 1: Strategic Adjustments - The newly formed Ford Sales Service Company will manage marketing, sales, and service for Ford's passenger cars and pickup trucks in China, aiming to enhance operational efficiency and customer experience [3][9] - The integration of Jiangling Ford and Changan Ford channels is expected to consolidate approximately 300 dealerships, improving profitability for dealers [3][9] Group 2: Market Performance - Ford's sales in China have been declining, with Changan Ford experiencing a drop in sales for several consecutive months, leading to the closure of some dealerships [6][7] - In Q2 2025, Ford reported revenue of $50.184 billion, a 4.97% increase, but net profit turned to a loss of $36 million, marking a downward trend for two consecutive years [6][7] Group 3: Electric Vehicle Challenges - Ford's electric vehicle business has faced substantial losses, with a reported loss of $5.1 billion in 2024 and $1.3 billion in Q2 2025 [6][7] - The company is accelerating its electric vehicle strategy, investing an additional $5 billion to develop new electric platforms and models, but has fallen behind competitors in the EV market [8][9] Group 4: Future Outlook - Experts suggest that while the channel integration may reduce internal conflicts and enhance dealer profitability in the short term, Ford must invest in product development tailored to the Chinese market and improve supply chain efficiency for long-term success [9]