Hybrid Electric Vehicles (HEVs)

Ford introduced the world's first hybrid SUV in 2004, the Ford Escape Hybrid. We followed up with the Mercury Mariner Hybrid in 2005 and the Mazda Tribute Hybrid in 2007. The Ford Fusion and Mercury Milan Hybrids started being sold in early 2009. All of these vehicles are full hybrids, meaning they can run exclusively on battery power, exclusively on gas power or on a combination of both. As of early 2009, we had produced more than 100,000 hybrids worldwide. We are currently increasing our hybrid volume, targeting a cost reduction of more than 30 percent and preparing for hybrid capability across our global products platforms.

The Ford Fusion Hybrid has an Environmental Protection Agency rating of 41/36 mpg city/highway, making it the most fuel-efficient midsize sedan in the United States today. The Fusion Hybrid's fuel economy significantly exceeds that of its nearest midsize competitor, and it can go more than 700 miles on a tank of fuel. It includes an innovative new SmartGauge™ with EcoGuide that coaches hybrid drivers to maximize fuel efficiency. With the Fusion and Milan Hybrids, we are doubling the number and volume of our hybrid lineup in the U.S.

In 2012 we will deliver our next-generation hybrid vehicles. The next-generation system, already under development, will be even more efficient and more cost-effective than the current system and will use lithium-ion battery cells.

Ford is also working on hybrid applications specifically designed for our European customers. Because the diesel market is highly developed in Europe and driving patterns there differ significantly from the U.S., certain technical elements of hybridization are better for European applications than full hybrids. We have determined that "micro-hybrids," which combine stop/start systems with a smart regenerative-braking charge, are one of the most efficient ways to use hybrid technologies to enhance fuel efficiency in the European market. Micro-hybrids cannot drive on electric power alone nor use battery power to support the combustion engine. Instead, the stop/start system shuts off the engine at every stop, providing considerable fuel savings, especially in city driving conditions. And, the micro-hybrid powertrain system converts some braking energy into electrical energy. This supports the alternator in charging the battery and reduces fuel consumption. In the European driving environment, micro-hybrids that build on diesel technology may offer the best combination of performance, fuel economy and affordability. Ford has already demonstrated micro-hybrid technology in prototypes in recent years.