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Why Ford believes a 10.2% July U.S. sales decline was a 'good' month
CNBC • • business
Key Points:
- Ford reported a 10.2% decline in July U.S. vehicle sales but described the month as a "good sales month," attributing the drop to a deliberate strategy of phasing out certain models and reducing low-margin rental fleet sales.
- The company prioritized retail sales of its F-Series pickup trucks while cutting rental sales by 96% compared to the previous year to make room for new product launches planned by the end of the decade.
- Without these strategic moves, Ford estimates its sales decline would have been less than 1%, outperforming the overall industry’s estimated 2% drop in July.
- Despite these efforts, Ford’s year-to-date sales through July are down 9.7%, reflecting ongoing challenges including production issues and a pullback in all-electric vehicle sales.
- The broader U.S. auto industry is also facing headwinds from higher prices and economic concerns, with overall sales expected to decline about 3% to 15.8 million vehicles sold in 2025.
