Ford to increase production of two models

DEARBORN, Mich. (AP) — Ford said Thursday it will build more of its popular Focus and Escape models and boost total vehicle production later this year to help dealers restock depleted showrooms.

Ford Motor Co. needs to keep up with demand for its Focus compact and Escape crossover, both ranked as top sellers under the federal government’s “Cash for Clunkers” program. It also wants to maintain a reasonable level of cars and trucks so its dealers won’t run short on hot models during the final months of the year.

Cash for Clunkers, which kicked off last month and has revived industry sales for the moment, uses rebates of up to $4,500 to entice drivers to trade in older gas guzzlers for more fuel-efficient vehicles. To be eligible, vehicles must have combined city/highway mileage of 18 mpg or less when they were new.

Ford’s overall vehicle production will be 2 percent higher than it expected in the third quarter. It also plans to boost its fourth-quarter output of cars and trucks by 33 percent from a year earlier.

While funding for the Clunkers program is likely to run dry by September, the company said, the additional vehicles produced in the quarter will go to replenish dealer stocks. Ford is struggling to keep up with demand after paring down inventories earlier this year. Vehicles that roll off assembly lines as part of the production boost should reach showrooms by early September, Ford said.