The Auto Writer

The North American auto industry is getting accustomed to working with fewer sales each month, a trend that began in September 2008 as the economy imploded. Before then, selling 14, 15 or even 17 million cars a year was expected, but these days most manufacturers know that reaching for ten million in annualized sales (US market only) is much more realistic.

One car manufacturer who appears to be successfully bucking the trend is the Ford Motor Company, the only one of the three major US car manufacturers who isn’t on government life support. True, Ford showed losses of 24.3% in May 2009 v. May 2008, but those figures fail to point out a developing trend: Ford’s losses are well below the industry average of approximately 35% which means that the company is picking up market share.

A Revived Lincoln Shines Brightly

Perhaps most surprising about May’s figures is that Ford’s Lincoln brand, once given up for the dead, seems to have found fresh life. For the month, Lincoln posted a gain of 2.4% thanks to increased sales for two very different vehicles: the aged Town Car sedan and the MKS, Lincoln’s new flagship sedan. Lincoln is in the midst of an important overhaul, one that saw the 2010 MKS enter production and where the MKS will be outfitted with its EcoBoost technology by the fall. In addition, Lincoln will soon be selling an all new crossover, as the stylish Lincoln MKT enters the fleet late summer.

Ford is also pointing to strong sales of several hybrid models including the all new Ford Fusion Hybrid and Mercury Milan Hybrid with helping the company sell just over 3900 hybrid models for the month, besting its previous best month (April 2006) by nearly 500 units. In addition, Ford continues to see strong demand for its full sized pickup trucks, the F-Series, its best selling line of passenger vehicles.

Third Quarter Production Boost

Most telling about Ford’s May performance is how much better it was than April. May’s total sales of 155,954 vehicles was up 20% over April and represents the best month for Ford since July 2008. That demand also means that Ford plans to build an additional 42,000 vehicles in the third quarter of 2009 as the automaker enjoys one of the industry’s lowest supply levels (56 days).

Ford is also finding itself in a position that they simply cannot afford to let slip by – with both General Motors and Chrysler restructuring and ceding market share and with Ford in the midst of a historic new model roll out, the company expects to poach sales from its American competitors while holding off foreign competition.

Given the current sales trend, expect Ford to become the best selling car manufacturer in the US before 2009 comes to a close.

Source: Ford Motor Company

See Also – Auto Sales: Looking For Signs Of Recovery