Automotive News Canada - May 2017 - 10

* MAY 2017

The EcoSport subcompact utility vehicle
will arrive at dealerships in the first
quarter of 2018.

Ford Canada's Mark Buzzell says a
new small electric utility vehicle, with
an estimated range of 450 kilometres,
will be a "ground-up game changer."

NAFTA talks and a softening interest
in cars are two immediate challenges
for Ford Canada President Mark Buzzell

FORD'S

Canada will get the newly
redesigned Expedition full-size
utility vehicle.

PATH FORWARD
By STEVE MERTL

VA N C O U V E R C O R R E S P O N D E N T

MARK BUZZELL WILL BE THE
first to say that he inherited a solid
operation when he succeeded Dianne
Craig as president of Ford Canada.
But record sales and a fresh fouryear deal with the company's union
do not obscure the challenges that will
confront Buzzell, 53, who took over in
January.
Most immediately, Ford and other
automakers that do business in Canada
must be ready for changes in the
upcoming renegotiation of the North
American Free Trade Agreement
(NAFTA).
Buzzell also wants to slow - even
if he can't halt - declining interest in
Ford's conventional sedans and hatchbacks as more Canadians opt for utility
vehicles.
Longer-term, he will look for ways
to grow Ford Canada's research-and
development footprint as the company transitions toward electric power,
autonomous vehicles and ride-sharing
services.
Ford Canada sold 304,618 vehicles
in 2016, cracking 300,000 for the first
time, largely on the strength of growing utility-vehicle and F series truck
sales. It was the top selling automaker

in Canada, growing its market share to
16.6 per cent from 14.7 per cent in 2015.
Buzzell, previously Ford's western
U.S. general manager, joined the company in 1989. He rose through the company's marketing, sales and service
departments in the United States and
abroad, moving 15 times in 27 years.
Buzzell, in a wide-ranging interview
with Automotive News Canada at the
recent Vancouver International Auto
Show, said he relishes his new job.
"It's an exciting market because
even though it's a smaller market, it is
diverse across the country."
While cars show regional strength,
there's no doubt that trucks and utility vehicles dominate the market in
Canada.
"It's hard to predict the long-range
future but I can tell you that in the
short term we'll continue to see people
migrate from cars to SUVs," Buzzell
said.
Given that, Ford will continue to
look for expansion opportunities in the
utility-vehicle segments.
The EcoSport subcompact, built in
India, will arrive in the first quarter
of 2018. Plans call for a front-drive version powered by a 1.0-litre three-cylinder gasoline engine, as well as an
all-wheel-drive model with a 2.0-litre
four-cylinder. Other markets offer a
diesel option.

Canada will also get a new
Expedition full-size utility vehicle, the
first redesign of the vehicle in 10 years.

CARS DOWN, NOT OUT
But Ford is not writing off the car
market.
"Some more money is going into
SUVs and trucks," Buzzell said. "But
our intention going forward is we're
still going to bring out new cars and
refresh vehicles that we have on the
road today."
Buzzell suggested Ford might target
more marketing money at models such
as Fusion.
"There's an opportunity, especially
here in Canada, to do a better job creating awareness around these products."
Ford also wants to work with dealers to create more awareness about
electric and plug-in hybrid models. The
challenge is to alleviate range anxiety
- where drivers are concerned about
running out of power - by improving
access to charging stations, he said.
"I do think we have to play a greater
role in that."
Ford will ask dealers to install at
least two chargers on site and hopes
that fleet customers will add chargers
at their locations, he said.

LONG-RANGE SMALL UTILITY COMING
Ford is spending $5 billion globally

to develop battery-electric vehicles and
hybrids, Buzzell said, including a new
small electric utility vehicle with an
estimated range of 450 kilometres.
"That'll be a ground-up game-changer," he said, stopping short of calling it
a Chevrolet Bolt fighter.
Manufacturing operations are on a
solid footing after Ford Canada inked
a new four-year agreement with manufacturing union Unifor in November.
The federal and Ontario governments have shown interest in
research-and-development work done
at Ford's Windsor, Ont., engine plants,
to build Canada's reputation as a centre for automotive innovation, Buzzell
said.

INTELLECTUAL CAPITAL
"I think the intention is to continue to bring projects here to design and
build new engines," said Buzzell.
Ford has relationships with five
Canadian universities and wants to
use their expertise for projects while
providing a venue to train students in
areas such as robotics and software
development.
"That is something that, while we
have nothing to announce, we are
going to look for opportunities to take
advantage of the great intellectual capital we have around Canada," Buzzell
said. - ANC

Table of Contents for the Digital Edition of Automotive News Canada - May 2017