 Ford aims to cut up to 30,000 North American jobs by 2012 |
Struggling US carmaker Ford is to cut its fourth-quarter North American production by 21% as it continues efforts to reduce its costs. The firm is to trim production between October and December by 168,000 units, and also said it would reduce its third quarter production by 20,000 cars.
Ford boss Bill Ford admitted the move would have a "dramatic impact" on staff but said it was the "right call".
Last month, Ford posted a quarterly loss of $123m (�65m).
It is also continuing with plans to shut 14 US plants and cut up to 30,000 North American manufacturing jobs by 2012.
'Long-term future'
Despite the effect on employees and suppliers, Mr Ford insisted the cut in production was vital.
"This is, however, the right call for our customers, our dealers and our long-term future," he said.
Ford said the reduction in output would remove excess production and better align its inventories with actual customer demand.
Like its main American rival General Motors, Ford has struggled against falling sales in recent years.
Against a climate of rising petrol costs, both firms have been hindered by an over-reliance upon thirsty four-wheel-drive sports utility vehicles (SUVs), which have gone out of fashion in the US.
Mr Ford added that more details of the drop in production would be given in September.
Some newspapers also suggested on Friday that Ford was due to announce 6,000 additional job cuts in North America, on top of the existing plan to cut 30,000 positions.
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