Ford announced Tuesday plans to boost output of its largest SUVs – Ford Expedition and Lincoln Navigator – by 20% annually at its Kentucky truck assembly plant in Louisville. Ford increased Expedition and Navigator production by 20% last summer. Sales of the Expedition and Navigator, redesigned in 2017, have exceeded expectations, with Navigator (average selling price $81,000 in February) sales soaring 70% last year. The business cases behind the Ford and FCA SUV strategies are clear, but they raise a range of questions about the longer term. For now, consumers continue to replace passenger cars with larger SUVs and pickup trucks, which generate much larger profit margins.

Source: Forbes March 19, 2019 17:24 UTC