Ford is set to re-introduce passenger cars to its European lineup, with the company reportedly telling its dealers it has new one in the works.
According to Automotive News Europe, a directive from Ford CEO Jim Farley has been issued to develop passenger cars – distinct from SUVs – at Ford of Europe.
Ford of Europe was previously the centre for the brand’s key passenger cars, most recently including the Fiesta, Focus and Mondeo that were all offered in Australia.
Dealers were reportedly told the news during a conference call with Christoph Herr, chief of Ford’s German-speaking markets.
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The automaker didn’t make any official comment when asked about the plan by Automotive News Europe.
The motive for the decision – which may include an entry-level price-leading product – hasn’t been revealed.
It also comes despite SUVs continuing to outsell hatchbacks and sedans in Europe, the United Kingdom, the United States and Australia.
Ford’s showrooms globally, including Australia, are currently dominated by SUVs and pickups, with sliding sales of conventional hatchbacks and sedans leading to their disappearance from showrooms.
The rise in popularity of SUVs saw them overtake passenger car sales in Europe in 2015, with SUVs doing the same in Australia in February 2017 – and remaining ahead ever since.
In Australia, 56.9 per cent of all new vehicle sales last year were SUVs, led by the Toyota RAV4, while traditional passenger cars made up 17.1 per cent.
Sales figures from JATO reveal SUVs made up a similar 54 per cent of all vehicle sales in Europe in 2024 as hatchbacks and sedans dropped further behind with declines in the Fiesta’s B-segment, Focus’ C-segment and Mondeo’s D-segment.
While the Ford Fiesta was the brand’s best-selling car in Europe – and a key model in the brand’s navigation of the 2008 Global Financial Crisis – the Puma crossover SUV has since taken over the mantle.
The Puma – sold in Australia between 2020 and 2024 – was the UK’s number one seller in 2024 ahead of the Kia Sportage and Nissan Qashqai SUVs.
In Australia, the Ford Ranger ute has been at the top of the sales charts – knocking off the Toyota HiLux – for the past two years, with its Everest SUV spin-off accounting for around 90 per cent of the brand’s total sales.
Its third-best seller is the Ford Mustang – a two-door sports coupe and convertible – which has been the only passenger car offering in Australian dealers since 2022.
That’s when Ford Australia dropped both the Fiesta small hatch/sedan and Volkswagen Golf-sized Focus, following the Toyota Camry-rivalling Mondeo’s 2019 axing.
All three suffered dwindling sales as their segments declined, market conditions which also saw the end of once-popular models like the Mazda 6.
Globally, production of the European Mondeo ended in 2022, while the last Fiesta was manufactured in 2023 – despite its lengthy stay atop UK sales charts to hold the record as the country’s all-time highest-selling nameplate.
Ford pulled the plug on its Galaxy and S-Max people movers in 2022 as well.
The final Focus – after more than 12 million produced – is scheduled to roll off the production line this November.
The Blue Oval has introduced fresh product in Europe in the Capri and Explorer electric SUVs as it has shifted its focus to more profitable SUVs and electric vehicles, as well as commercial vehicles.
However, these Volkswagen-based models haven’t proved to be huge sellers, and Ford’s European sales have continued to decline.
Ford has only a handful of passenger cars left globally. There’s the iconic Mustang, while in China there’s another generation of Mondeo – exported to the Middle East as the Taurus – plus a higher-riding Mondeo Sport companion.
The Mondeo/Taurus and Mondeo Sport come out of Ford’s joint venture with Chinese automaker Changan.
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