The blue oval of the Ford Motor Company is amongst the most recognizable corporate logos in the world, and it doesn’t take a Wall Street analyst to figure out why. Ford-badged automobiles are sold in every major automobile market around the world with just a handful of exceptions, and you can now add Japan and Indonesia to the list of countries missing out.
On the heels of record-breaking profits, Ford has announced that is giving up on the Japanese and Indonesian car markets, reports Reuters. Between the two countries Ford barely sold 11,000 vehicles, leaving little wonder why the automaker is saying adieu.
Japan has long been a target of foreign automakers, but strong pride in domestic brands coupled with an aging population and stagnant economy have thwarted other companies too. In 2015, the top-selling foreign marque in Japan was Mercedes-Benz with just over 65,000 sales, taking 10th place. Ford didn’t even crack the Top 20 in a market that saw over 5 million new car sales. The company held 52 dealerships in the country employing just under 300 people, and has operated in Japan since 1974.
In contract, Ford has sold cars in Indonesia only since 2002, where Ford only directly employs 35 people but had franchised 44 dealerships. The approximately 6,000 car sales in the Indonesian market gave the American automaker a market share of just 0.6%. Like Japan, Ford lacks a domestic manufacturing base in Indonesia, and not even the 2015 Ford Mustang could turn the tables.
Is Ford finished in Japan for good?