Ford’s European Sales in August Drop Sharply image

Ford’s European sales decreased 27% in August, compared with the same period last year.

Ford’s shares also fell 1.6 percentage points, to 6.5% last month. The automaker expects to lose in Europe more than $1 billion by the end of this year, after it lost $404 million in the first quarter. The European crisis has forced automakers to offer big discounts to boost sales, which have only resulted in profit loss, workers laid off and plants closed.

“August was even slower than usual this year, and there was a lot of short-cycle business and heavy incentives that we decided to largely refrain from,” Roelant de Waard, vice president of marketing, sales and service for Ford of Europe, said in a release.

According to analysts opinion Ford needs to close at least one plant in Europe to be able to make it in the market, and speculation is directed towards the Genk plant in Belgium, where the automaker manufactures the Galaxy, S-Max and Mondeo. Ford said that it is considering all options and solutions to deal with losses in Europe, including the plan to introduce 15 new global models in the following 5 years, among which the Edge, Kuga (Escape), the Mustang, the EcoSport SUV and a new Mondeo (Fusion).