Turkish Carmaker Ford Otosan's Sales Fell 11% in 2012

---

Researched by Industrial Info Resources (Sugar Land, Texas)--Turkish automaker Ford Otomotiv (ISE:FROTO) (Istanbul, Turkey), the Turkish venture of Ford Motor Company (NYSE:F) (Dearborn,Michigan) with Turkey's Koc Holding (ISE:KCHOL) (Istanbul, Turkey), ended 2012 with an 11% decrease in vehicle sales, to 317,000 from 354,000. Ford Otosan's General Manager Haydar Yenigun said in a press conference that the company's exports fell to $3.2 billion from $3.48 billion in 2011.

The company produced 272,000 units in 2012, implying an 83% capacity utilization rate. Capital expenditures for new-model investments materialized at $423 million in 2012. The company plan to complete its $1 billion investment programme, which includes the new custom series, a remodeling of the Transit, and the new light commercial vehicle (LCV) Courier.

Ford Otosan, as the company is known, is planning to increase its annual production of the LCV Transit from 210,000 to 290,000 in 2014, Yenigun said. Also, the company is planning to produce 15,000 Cargo 1846T heavy trucks annually. Ford Otosan expects the domestic market (including the heavy vehicle market) to hover around the 780,000 to 800,000 level, implying a 4% contraction from the previous year to flat domestic sales. For additional information on Ford Otosan, see November 5, 2012, article - Ford Otosan's Third-Quarter Profit Drops 17% to $80.4 Million.

The company expects a 3.8% annual growth in domestic light vehicle market to 807,000 units in 2013, from 778,000 units in 2012. The domestic sales are expected to remain flat in 2013 at 112,000 units. The company also aims to increase exports by 3.4% to 212,000 units in 2013.

For additional information on the Turkish auto market, see January 10, 2013, article - Turkey's Auto Sales Contract 10% in 2012.

Ford Motor said the manufacturing of the Transit will be consolidated in its principal commercial vehicle manufacturing facility, operated by Ford Otosan in Kocaeli, Turkey, in 2013. For additional information, see October 29, 2012, article - U.S. Automaker Ford Consolidates Businesses in Europe, Closes Three Plants.

In September 2012, Ford said it would introduce 15 global vehicles in Europe within five years, and would expand in the growing European SUV segment. It also said it would redesign and expand its commercial vehicle range over the next two years.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, and eight offices outside of North America, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.