Ford Motors (F) said it intends to withdraw its Fiesta series from the European market. The carmaker introduced the compact hatchback globally over four decades ago, in 1976.
Earlier this week, the Dearborn, Michigan-based automaker said it would cease production of the model as early as next year. With seven generations across a four-decade run, the Fiesta ranks as the all-time best-selling car in the U.K.
“Thanks, Fiesta drivers. It’s been a great ride. We’re proud of the legacy we’ve built with the Ford Fiesta,” the company said in a statement.
The move is part of the auto industry’s push into electric vehicles, with a shift from combustion engines to batteries. Ford itself has been investing heavily in its EV ventures. The company has shifted its focus on electric cars, restructuring global production to prioritize electric inventories.
The company on Wednesday reported its third quarter earnings, netting losses due to rising costs and other unexpected expenses. The carmaker reported earnings of $1.8 billion, down from $5.6 billion last year. The company said its operating cash flow stood at $3.8 billion.
Earlier this year, Ford said it was expecting to have at least 40,000 unsold vehicles due to parts shortages, prompting a pause on deliveries. The last quarter saw that forecast realized. The car manufacturer, after exploring self-driving technology, pulled out of its investment in Argo AI, which was backed by German carmaker Volskwagen (VWAGY).
While supply chain issues, inflation, and reduced demand have rocked the auto industry in recent months, carmakers have been holding out for a market U-turn. With the U.S. economy growing at a better-than-expected rate in the last quarter, that turnaround has seemingly arrived.
Shares of Ford closed Thursday at $13.00, up $0.18, or 1.40%.