Mustang and Focus will soon be Ford's only passenger cars

Ford has announced plans to cull all but one of its conventional passenger cars in North America — the Mustang — in a bid to increase profits.

Ford chief executive Jim Hackett told journalists last week the brand's iconic Mustang would soon become the only passenger model in Ford’s US line-up, reflecting plans not to replace the current Taurus, Fusion/Mondeo, C-Max, Fiesta and Focus (except the new Active crossover variant).

It is unknown what bearing the strategy will have on Ford’s passenger car line-up in Australia.

Ford Australia has already announced it will import all body styles of the next-generation Focus family locally, but has axed the Fiesta (except the new Fiesta ST) and declined to confirm the long-term future of the Mondeo.

“We’ve confirmed Fiesta is ST only for next generation. It’s too soon for any news on Mondeo,” a spokesman for the company said.

While the Mustang comes from the US, Ford Australia's current Mondeo is sourced from Spain and the new Fiesta ST and Focus line-up will come from Germany.

The Blue Oval says sedans are among its most unprofitable models, which is why it has vowed to turn its attention to utilities and SUVs in the US, where the Mustang will become Ford’s only car once Taurus and Fiesta production ceases in March and May of 2019 respectively.

"We are committed to taking the appropriate actions to drive profitable growth and maximise the returns of our business over the long term,” said Ford president and CEO Jim Hackett.

“Where we can raise the returns of underperforming parts of our business by making them more fit, we will. If appropriate returns are not on the horizon, we will shift that capital to where we can play and win.

"We’re going to feed the healthy parts of our business and deal decisively with the areas that destroy value,” Hackett said.

Ford’s plan is more aggressive than many observers had predicted, and will help it trim $A33.7 billion in operating costs by 2022.

Ford has outlined plans for 90 per cent of its vehicles sold in the US by 2020 to be a truck, SUV or commercial vehicle.

While Ford is downsizing its car fleet, it is also set to add five new SUVs over the next two years, including an all-new small off-road SUV next year and the all-new 2020 Bronco, plus a new Escape and Explorer -- both of which should come to Australia following the new Edge/Endura SUV late this year.

Ford has also promised to release electrified versions of the F-150, Mustang, Explorer, Escape and Bronco, plus 12 Ford Performance models by 2020 and six all-electric models by 2022.

“Everything is on the table,” said Ford’s chief financial officer Bob Shanks. “We have looked at every single part of the business. It’s a very complex endeavour. We are determined to turn this business around right throughout the whole company. There’s more work that’s underway.”