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Ford Cuts SUV Production

No sooner had this author skeptically reported CERES' high sustainability ranking for Ford and demanded that Ford change production to really be sustainable when, today, Ford has. Announcing drastic cuts to SUV production, Ford’s move indicates major changes for automakers and consumers.

Ford has been one of the leaders in Sport Utility Vehicle production, with SUVs comprising 70% of Ford’s sales in the early 2000s. SUVs have been symbols of consumption, with their large frame size, low fuel efficiency and subsequently high emissions.

Ford’s CEO Alan Mulally announced dramatic shifts in profit and production goals, including a major scaleback of SUV production. He did not deny that plants may be closed and jobs lost, explaining that Ford does not expect to make a profit this year. He declined to set a new profit target.

Though the news appears to be negative for Ford, many analysts consider Ford’s move wise and overdue. Ford appears to be responding to the reality of the oil and gas supply situation, contradicted by their reliance on SUVs and heavy trucks. Environmentalists are also pleased, and look forward to Ford's atmosphere-friendly innovations. "We're also really trying to understand what the real demand is going to be from this point forward," Mulally explained during the press conference.

Read more at Yahoo.  

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