News Update

Ford to Offer Free MPG Boost to 2013 Hybrid Owners

Ford will begin offering a free software update in August to improve the fuel economy of the 2013 Ford C-Max Hybrid, 2013 Ford Fusion Hybrid and 2013 Lincoln MKZ Hybrid.
Ford says the software update will improve its hybrids’ real-world fuel economy. “We believe these actions will provide our customers enhanced on-road fuel economy satisfaction,” says Raj Nair, group vice president of global product development at Ford, in a press release.
According to Ford, the software update will increase the electric-only top speed from 62 to 85 mph, reduce engine warm-up time, decrease aerodynamic drag using Ford’s active grille shutters, reduce engine cooling fan speed and optimize the climate control system.
“Customers should see the most improvement at highway speeds, during air conditioner use and operation in colder climates,” says Nair. He expects the mileage improvements to vary based on the way people drive. “Just as individual mileage can vary based on driving styles and environmental conditions,” he says, “we expect fuel economy improvements will differ from customer to customer depending on individual driving habits.”
Ford’s announcement Tuesday comes amid criticism that the company has inflated the fuel economy numbers of hybrids like the 2013 Ford C-Max Hybrid. Reuters reports that “Ford faces a number of class action lawsuits that claim the No. 2 U.S. automaker overstated the gas mileage on its hybrids.”
According to Business Insider, one plaintiff, who owns a C-Max Hybrid, averaged aproximately 37 mpg in combined driving, which is less than the EPA's 47 mpg combined estimate.
Consumer Reports tested the car last year and also reported 37 mpg combined.
Like other automakers, Ford uses the EPA's fuel economy estimates in its advertising. Organizations such as Consumer Reports have recently questioned the EPA’s testing methods, saying that the EPA’s tests don’t reflect real world driving and can result in inflated fuel economy numbers, especially for hybrids. The EPA last addressed concerns about its fuel economy tests in 2008, when it changed its methods to better reflect real world driving. It included faster acceleration, air conditioner use and colder outside temperatures in its tests, and average fuel economy numbers dropped.
Autoweek reports that the software updates should take a half day, and that Ford encourages 2013 hybrid owners to make an appointment with their dealer.

Could Ford Overtake Toyota in Total Hybrid Sales?


Photo Courtesy of Ford Motor Company
Since the early 2000s, Toyota has dominated the hybrid vehicle market, with a 71 percent market share last year, according to The Detroit News. However in the last year, Ford has introduced the all-new C-Max along with an electric version of the redesigned Ford Fusion, the Fusion Energi.
The Detroit News says Ford Fusion hybrid sales (not including the Fusion Energi) beat out sales of the Toyota Camry hybrid in April. In particular, Fusion sales are high in the Los Angeles, Washington, D.C., San Francisco and Chicago markets.
In April, the Toyota Prius’ sales dropped 21 percent and the Camry’s dropped 26 percent compared to April of 2012, according to Bloomberg. Meanwhile, Ford has already surpassed General Motors, Honda, Hyundai and Kia in total hybrid sales.
The Detroit News says Toyota’s 71 percent of the hybrid market has already dropped to 58 percent this year. However, Ford still has a long way to go to catch up. Ford’s market share is at 18 percent, which is a 3 percent increase from where they were a year ago.
Erich Merkle, U.S. sales analyst for Ford Motor Company, tells Bloomberg that Ford sold 8,841 hybrid vehicles in April, and totals 29,561 hybrids sold for this year. Ford’s hybrid sales for 2010 totaled 35,496. Merkle added, “We’re turning, conquesting and growing our sales the fastest in the largest hybrid markets in the country.”
Jim Lentz, CEO of Toyota North America, told the Detroit Free Press last month that lower gas prices have had a negative impact on Toyota's hybrid sales. Originally, Toyota had forecasted 250,000 U.S. hybrid sales for 2013, but analysts have been speculating that Toyota may drop their forecasted number.

Buying "American" Could Mean Buying Foreign

In a new survey conducted by Harris Interactive, 75 percent of those surveyed considered a product American if it was manufactured in the U.S. In the same survey released last week, 15 percent of those surveyed also named Ford as the most American company.
"What many consumers don't know is that companies very traditionally seen as American, from GE to John Deere to Levi Strauss, outsource varying portions of their operations overseas, so it takes a lot of attention and research to determine if you're buying American and what that specifically means to you," said Mike de Vere, president of the Harris Poll. "Even the big three automakers - Ford, General Motors and Chrysler - two of whom were thought of as the most American brands in our findings, increasingly have cars in which parts are produced abroad, while Japanese automakers Toyota and Honda have upped U.S. production."
Although Ford is considered the most American company by survey respondents, the annual American-Made Index by Cars.com only has one Ford vehicle listed (the Ford F-150). Cars.com says the “American-Made Index recognizes cars that are built here, have a high percentage of domestic parts and are bought in large numbers by American consumers.” The index, made up of 10 vehicles, has five Japanese-branded models that some consumers may automatically disqualify because they are made by a foreign car company. In reality, the Japanese Toyota Camry has ranked number one in the index over the last four years. The Camry is assembled in Kentucky and Indiana and is built with more U.S. parts than any other vehicle based on the index criteria.
Besides the Toyota Camry, the Sienna and Tundra made the list for 2012. Tying Toyota as the most represented automaker was General Motors, with the Chevrolet Traverse, GMC Acadia and Buick Enclave. Representing Honda was the Accord and Pilot, and one vehicle from Chrysler Group, the Jeep Liberty, made the list.
AOL Autos says, “‘Buy American,’ is an important criteria for many consumers as they think about supporting local jobs, buying local and helping the U.S. economy. But because large companies like automakers operate globally, defining ‘American’ and ‘local’ is actually quite different.”
Cars.com says that the automotive industry is becoming more global, as evidenced by the top two vehicles on its list. The Toyota Camry receives some drivetrains from Canada, and the V8 installed in the F-150 currently comes from Canada as well. Sometimes having parts come together from all around the globe helps the automaker’s bottom line. Ford, for example, earned a profit partly by instilling a global One Ford strategy that meant getting rid of some its domestic components, according to Cars.com.
With that criterion in mind, might it be OK to consider a Toyota Camry or Honda Accord for your next vehicle purchase if you’re looking to “buy American”? AOL Autos says trying to decipher which vehicles are more American (a foreign vehicle with more U.S.-made parts or a U.S. company that makes a vehicle with more foreign parts), may be too much of a headache for most consumers.
For consumers whose main focus is buying an American-made car, the National Highway Traffic Safety Administration’s website has a report of the amount of U.S./Canadian parts, by percentage, installed in each vehicle that is sold in the U.S.