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All the car blogs lately have been speculating on the direction that the Ford Motor Company is going to take in the wake of declining sales and stiff competition. We know that Ford has too much capacity and we know that the company will be closing some key plants and laying off an as yet to be determined number of employees. What hadnt been clear is which models would be cut from the line up. Now, it appears that Ford will exit the lucrative minivan market. Thats right, Ford apparently will stick with building cars, trucks, and SUVs, and leave the minivan market to the other players.

Ever since the Chrysler Corporation invented the minivan market back in the early 1980s with its line of K-car derived minivans the Dodge Caravan, Plymouth Voyager, and the Chrysler Town & Country Ford has been playing catch up. Indeed, a series of forgettable star named minivans were served up by Ford and summarily rejected by consumers: the Aerostar, Windstar, and the Freestar. Later, both Honda and Toyota brought out their own entries and Ford, along with Chevrolet found themselves trailing badly in an overcrowded segment. Indeed, several GM divisions sell minivans, as does Kia and Nissan, making the market especially tight.

Should Ford decide to go ahead with plans to ditch the minivan market, it wouldnt be a complete retreat. For one, many consumers prefer the automakers popular Ford Explorer SUV while its all wheel drive Freestyle wagon/crossover competes well too. Finally, another vehicle the Edge will soon make its debut and likely pull many minivan customers over. The Edge will be yet another crossover vehicle somewhat of a SUV/wagon hybrid and fill the need for consumers.

Yes, Ford appears ready to ditch the minivan market. No loss to consumers and probably a smart move for the beleaguered automaker.

Tags: Aerostar, Automaker, Automakers, Building Cars, Chrysler Corporation, Chrysler Minivan, Chrysler Town, Country Ford, Crossover Vehicle, Dodge Caravan, Ford Explorer, Ford Motor, Ford Motor Company, Freestar, Gm Divisions, Minivan Market, Minivans, Plymouth Voyager, Smart Move, Stiff Competition

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Toyotas Scion brand has been a runaway hit for the Japanese automaker ever since being launched in 2003. Designed to appeal to Generation Y buyers, the vehicles are popular, edgy some would say ugly and have given Toyota an important toehold with young buyers. GM, Ford, and Chrysler are preparing to respond to Scion, but in different ways. GM is planning to import more vehicles from its Daewoo subsidiary while Ford and Chrysler are expected to build all new Scion fighting vehicles in Mexico, good news for motorists looking for affordable and quality vehicles. Lets take a look at whats coming down the pike.

For the record, Scion isnt the only vehicle made for the Generation Y crowd. Hondas Element and soon to be released Fit subcompact are Scion competitors while the Chevy Cobalt, Dodge Caliper, and Saturn ION are also aimed toward youthful drivers. With that being said, Dodge [Chrysler] and Ford must respond and it appears that both automakers will be fielding Scion fighters within the next two years.

The Dodge Hornet

Lo and behold, Dodge is nearing the finalization of its plans to build the Dodge Hornet. According to industry sources including Edmunds, the Hornet will be based on the VW Polo, a subcompact car built by Volkswagen and popular in the European market. This deal is amazing as Volkswagen and Mercedes [a DaimlerChrysler division, as is Dodge] compete fiercely, especially in Europe. VW has a plant in Mexico that likely will produce the Hornet as the company has excess capacity and the cost advantage that no American manufacturing plant can offer. For its part, VW gets to sell rebadged versions of the Dodge Caravan minivan.

If based on the Polo, the Hornet is expected to use the Polos 1.6L engine and be paired with a VW transmission. Beyond that, look for the vehicle to be closer in appearance to the Scion xA design, sport a five door hatchback design, and seat five passengers. Currently, the xA sells for just over $13,000, so expect the Dodge to compete at or below the Scion price.

The Ford Bronco

Dont expect Ford to sit back and watch from the sidelines as the market trends toward more Scion-like vehicles. In 2004 a concept Ford Bronco, taking styling cues from the 1966 Bronco truck, made its appearance at auto shows. Now, Ford appears ready to go ahead with the Bronco which will also be built in Mexico.

Featuring a boxy design, the Bronco will be similar in design to the xB and to the Hornet and will likely be built on the existing Fiesta platform to hold costs down. Indeed, Ford is hoping that a budget Bronco will sell for less than $10,000 as it battles cheap imports expected from China as well as other Generation Y vehicles on the market.

Yes, the car wars never end and more battles are certain to ensue. Both Nissan with its Versa and a tiny Toyota by the name of Yaris will soon be released and competing on the market before the Hornet and Bronco arrive in 2008 as 2009 models.

Tags: Caravan Minivan, Chevy Cobalt, Coming Down The Pike, Cost Advantage, Dodge Caliper, Dodge Caravan, Dodge Chrysler, Dodge Hornet, Dodge Minivan, Excess Capacity, Generation Y, Gm Ford, Japanese Automaker, Quality Vehicles, Saturn Ion, Scion Xa, Subcompact Car, Vw Polo, Vw Transmission, Youthful Drivers

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