“Ford Motor Co. (F) Chief Executive Officer Alan Mulally said he’s concerned about the depreciation of the yen that’s bolstering the competitiveness of Japanese carmakers.
“The most important thing that most countries around the world believe in is letting the markets determine the currency,” Mulally said today from Bangkok in reference to the Japanese currency, during an interview on Bloomberg TV’s First Up with Susan Li. “That’s just so important to all of us in the international trading system.”
The yen has fallen about 15 percent since mid-November, when Prime Minister Shinzo Abe, then running for office, began a campaign to talk down the value of Japan’s currency to revive the nation’s export-led economy. That’s bolstered shares ofToyota Motor Corp. (7203), Nissan Motor (7201) Co. and Honda Motor Co.
On Europe, Mulally said the company is scaling back production to meet “real demand” amid economic contraction in the region.
Ford is cutting jobs in Europe and adding plants in Asia to curb losses in both regions, while relying on profits in North America. Ford achieved just 3 percent of its target for global market share and 32 percent of its goal for automotive operating cash flow in 2012, according to a U.S. regulatory filing.
