San Diego Union-Tribune

FORD DELIVERS MUSTANG MACH-E IN CHINA

Automaker selling at direct-to-consumer storefront­s, a la Tesla

- BY PHOEBE WALL HOWARD Howard writes for the Detroit Free Press.

Ford Motor Co. began delivering on Sunday in China its first Mustang Mach-E SUVs built in the country and sold at direct-tocustomer Ford stores for all-electric vehicle buyers, the company announced.

“These are the very, very first customers to get a Mach-E in China,” Anderson Chan, Dearborn, Mich.,-based internatio­nal communicat­ions manager for Ford, told the Detroit Free Press.

The company is hosting a series of ceremonies throughout China, starting in Shanghai and Beijing, that highlight the deliveries because the size of public events is limited by pandemic-related restrictio­ns, he said.

Ford released a photo early

Sunday of one of its first buyers in China, advertisin­g executive Jin Zhang, receiving keys in Shanghai from Mark Kaufman, general manager of Ford China BEV Division. BEV stands for battery electric vehicle.

Chan said Zhang fell in love with the Mustang while studying in America.

In China, Ford has set up 25 storefront sites in major metropolit­an areas for customers to buy electric vehicles directly rather than go through a traditiona­l dealership — and more sites are planned. This storefront model, in which no test-driving takes place on-site, has been popular in the U.S. with Tesla. It opened its first storefront in Michigan in 2017 at Somerset Mall in Troy.

In China, Ford began setting up storefront­s in 2021 where customers walk in, see the vehicle, learn about all-electric products and place orders, Chan explained.

“We will continue growing these who in the weeks and months ahead,” he said. “We wanted to use this as an opportunit­y to show how we are understand­ing China’s customers and their desire for direct access.”

The Ford direct-to-customer stores are not standalone sites but, rather, located in high-traffic shopping centers that offer other global brands, he said.

“We started rolling out the stores earlier this year. This initiative will continue in the year ahead. It’s very much China-specific,” Chan said.

“China’s customers have begun to want to access vehicles through these storefront­s. So that’s what we set up,” he said.

China has younger buyers, overall, that do vehicle research in advance and want the convenienc­e of immediate access, Chan said. Vehicle service still is available at dealership­s.

Chan noted that a number of major automakers in China offer this sales model, which is used by

Tesla in the U.S.

China is considered not just strategica­lly important for automakers but highly lucrative, based on its young and growing population, air pollution concerns and government incentives for all-electric vehicles.

The top-selling all-electric vehicles in China so far in 2021 are made by the joint venture SAICGM-Wuling that includes General Motors, Tesla and BYD, an electric vehicle maker backed by Warren Buffett’s Berkshire Hathaway, reported CNBC in October.

The Mustang Mach-E SUV is produced by Changan Ford, a joint venture between Changan Automobile and Ford, and manufactur­ed in Chongqing, China.

Government­s worldwide, led by China and Europe, have created public policies that spur the adoption of electric vehicles in an attempt to reduce pollution that contribute­s to climate change.

 ?? MARK SCHIEFELBE­IN AP ?? Anning Chen, CEO of Ford China, with a Ford Mustang Mach-E electric SUV. The company is hosting ceremonies throughout China that highlight the deliveries of the vehicles because public event size is limited due to pandemic-related restrictio­ns.
MARK SCHIEFELBE­IN AP Anning Chen, CEO of Ford China, with a Ford Mustang Mach-E electric SUV. The company is hosting ceremonies throughout China that highlight the deliveries of the vehicles because public event size is limited due to pandemic-related restrictio­ns.

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