Ford's Lincoln Eyes China Production as Sales Surge
Charissa Echavez | | Oct 11, 2016 09:51 PM EDT |
(Photo : Getty Images) Members of the media crowd around the Lincoln MKT concept vehicle during the press preview days at the North American International Auto show January 14, 2008 at Cobo Center in Detroit, Michigan.
Ford Motor's luxury unit Lincoln is currently studying the feasibility of locally producing cars in China, following its sales surge in the country, the brand's China chief said on Monday.
If Ford decides to move some of its production within Chinese borders, it will be spared from import tariff taxes that increases the cars price tag. However, the company noted that it does not want to rush into a decision considering rival automakers like General Motors have already established joint ventures in the country, CNet reported.
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"You're always looking for ways to optimize your business," Lincoln China President Amy Marentic told Reuters.
Sales of Ford's Lincoln nearly tripled in China to 8,546 units in the third quarter this year. Lincoln sales in the country jumped to up to 191 percent to nearly 21,000 vehicles in the first three quarters of 2016.
The company is also on pace to open 65 China dealership by the end of 2016 and 80 by 2017, Reuters reported. It also plans to open between five to 10 smaller sales outlets to cater to lower-tier Chinese cities.
However, despite the soaring sales, Ford's Lincoln still lagged behind General Motors Co and its luxury unit Cadillac, which posted at least 12,500 units sold last month, up 63 percent. A total of 77,000 Cadillac units were also sold by GM between January and September this year, up 35 percent.
Ford hopes that its new Lincoln Continental will maintain and boost its positive China sales. The new sedan is expected to hit the market in the fourth quarter.
TagsFord, Ford Lincoln, Ford China, Ford dealership, luxury cars, Lincoln Continental, China Car Market
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