How Ford burned $12B in Brazil (2021)

https://www.reuters.com/business/autos-transportation/how-ford-burned-12-billion-brazil-2021-05-20/

by kaycebasques • 4 months ago

67 44 4 months ago

cladopa• 4 months ago

It must be said: Mr Ford created way more wealth in the world than what it destroyed.

For example, the Japanese discovered that importing Ford cars from Japan was cheaper that manufacturing those in Japan, including all the shipping cost.

The same happened in Russia, Germany and most places of the West world.

The new manufacturing method was a revolution that have generated trillions.

ProAm• 4 months ago

Still a wild antisemitic so.... money isn't everything.

elorant• 4 months ago

I don’t understand why you’re downvoted. Hitler considered him an inspiration and praised him in Mein Kampf. Ford funded and published “The Dearborn Independent” which was a newspaper full of libel against Jews. Sure he was a visionary industrialist, but also a vile human being.

jazzyjackson• 4 months ago

Gets undue credit for assembly lines, guns and pocket watches were moving that way too, I wonder what middle school history book publisher cemented his legacy

sidewndr46• 4 months ago

the Japanese discovered that importing Ford cars from Japan was cheaper that manufacturing those in Japan

maybe I just don't understand, but something seems off with this statement?

sushid• 4 months ago

to Japan* I think

Hasslequest• 4 months ago

I think what they're getting at here is that it's cheaper for countries to import the car from themselves because you don't have to cover the cost of manufacturing, just the cost of transport (which is low, because you are importing it from yourself).

lysace2• 4 months ago

And now an authoritarian one-party country (I think it's decidedly sliding into a dictatorship) is winning car manufacturing - and possibly almost all of manufacturing except high-end semiconductors and optics.

The future is going to be interesting. :/

tehjoker• 4 months ago

I don't buy this but even if it were true, you could say the same if America was winning.

dmoo• 4 months ago

Just as an aside - The album Fordlandia

https://open.spotify.com/album/2I4uGgkMgN3UGE8ZQjCMjB?si=qdG...

SPascareli13• 4 months ago

Interesting aside, BYD (Chinese EV automaker) has took over production in the old Ford factory in Camaçari.

roysting2• 4 months ago

I was just reading an article on how BYD's flash charger can apparently charge a battery from 10-70% in 5 min and full in 9 min. That's basically refueling speeds.

hvb26• 4 months ago

The only use for that is for people that cannot charge at home I would think. After having driven for 4 to 5 hours a 15 minute break is not an issue?

If you can charge while you sleep, you would typically have enough capacity to make it through a normal day?

Yes, there are probably exceptions but if you're not a commercial driver and drive >250 miles a day, that sucks....

kaycebasques• 4 months ago

Yes that is their biggest manufacturing hub right? And was the location of the working conditions controversy: https://en.wikipedia.org/wiki/BYD_Brazil_working_conditions_...

luqtas• 4 months ago

they also managed to buy and destroy a really proeminent 4x4 national company [0] it's tech was of course, eaten by them

[0] https://en.wikipedia.org/wiki/Troller_Ve%C3%ADculos_Especiai...

dartharva• 4 months ago

Ford burnt a lot in India too iirc, it had to exit the market rather unceremoniously

locao• 4 months ago

This article is wrong at its core.

The study was commissioned by Brazilian auto industry group Anfavea

Nothing that comes from Anfavea is trustable. It's a crooked association of a few automakers that will try to push the government to give every subside to them and tax the other ones to the brim.

The article tries to justify Ford Mexican cars low sales numbers in Brazil using every flawed argument Anfavea uses. For instance:

On Thursday, Ford launched its new Bronco Sport SUV in Brazil. Made in Mexico, it is exported to the U.S. where it starts at $26,820. In Brazil, where per capita income is much lower, Ford said the Mexican-made car will retail for $48,000.

The key point here is "starts". Ford only imports top of the line cars in Brazil. I just searched Bronco Sport prices in Mexico in 2021, they started at $30900 up to $40000+. That $40000+ version was (still is) the only one sold in Brazil. 20% over the retail price in Mexico is not great, but far away from what the article tries to imply.

projektfu2• 4 months ago

Stellantis is doing well in Brazil, especially with the popular Fiat Strada. The Jeeps (Compass and Commander) are also seen as aspirational cars there for many people.

I imagine the Bronco was selling way above the Commander price point with less features.

But the real story now is that Chinese makers (BYD, Chery) are expanding rapidly. BYD is selling people on both electric and gasoline cars. Chery has a partnership with CAOA to produce cars in Brazil. Stellantis also builds cars in Brazil. It seems that the best way to sell to the market is to build there, and keep the costs down while hitting the right price point.

skybrian• 4 months ago

Too bad about the slave labor though:

https://www.washingtonpost.com/world/2026/03/01/byd-slavery-...

DeathArrow• 4 months ago

Stellantis doing well in any market is news to me.

projektfu2• 4 months ago

Yeah, it's a surprise because of their missteps everywhere else.

Glawen• 4 months ago

Fiat has been doing great in Brazil for years. They also have some R&D there too

ashwinnair99• 4 months ago

Same story every time. Underestimate how different the market is, stay too long hoping it turns around, leave with nothing. Just had more zeroes than usual.

manarth• 4 months ago

https://archive.is/mzQjQ

How Ford burned $12B in Brazil (2021)

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