Ford Asia Pacific and Africa

Our Asia Pacific and Africa (APA) region encompasses 11 markets – Australia, New Zealand, Japan, China, Taiwan, India, Thailand, Indonesia, the Philippines, Vietnam and South Africa – on three continents. The fastest-growing markets for automobiles are in rapidly developing countries like China and India.

We expect 60 to 70 percent of our growth in the next 10 years to come from the Asia Pacific and Africa region. Accordingly, we have increased (and are planning to increase further) our dealer networks and manufacturing capacity in the region. For example, we are building seven new state-of-the-art, highly flexible manufacturing facilities as part of our plan to have production capacity of approximately 2.8 million vehicles in the region by mid-decade. We are also significantly expanding our research and engineering center based in Nanjing, China.

2012 Performance Highlights and Awards

In the past year, Ford:

• Achieved record revenue, wholesales and market share in Asia Pacific and Africa. Ford Asia Pacific and Africa sold more than 1 million vehicles for the first time, a 15 percent increase from 2011, and recorded $10 billion in revenue, also a record. In the fourth quarter of 2012, Ford Asia Pacific and Africa increased market share from 2.8 percent to 3.4 percent, a quarterly record for the Company in the region.

• Continued the largest and fastest manufacturing expansion in more than 50 years, adding capacity to support growth plans. Our joint venture, Changan Ford Automobile (CAF),² expanded its passenger car assembly plants in Chongqing, China, and we have recently opened the Ford Thailand Manufacturing Plant in Rayong, Thailand. Overall, Ford is building seven new plants – five in China and two in India – as part of our plan to have production capacity of 2.8 million vehicles in the region by mid-decade.

• Introduced our new Thai-built Ford Focus in our ASEAN³ markets, which will be available with SYNC®, Blind Spot Information System, Active Park Assist and Active City Stop.

• Announced plans to bring Lincoln to China.

• Achieved 100 percent water recycling and zero wastewater discharge at our plant in Chennai, India, by implementing a state-of-the-art Zero Liquid Discharge system. The Silverton Assembly Plant in South Africa commenced operation of a state-of-the-art, $2.5 million wastewater treatment plant. The treatment plant increases the amount of water that can be reused by up to 15 percent.

• Continued the Ford Driving Skills for Life program in eight markets, providing free training to 13,500 licensed drivers in China, India, Taiwan, Thailand, the Philippines, Indonesia, Vietnam and South Africa.

• Launched the SUMURR Maternal and Child Health pilot project in Tamil Nadu, India, a public/private partnership to improve the delivery of health care services to underserved mothers and children by improving the mobility and connectivity of village health nurses.

Awards

• In Australia, our 1.0L EcoBoost® engine won the 2012 Fleet World Honours Innovation award, given by the publishers of Fleet World magazine.

• Ford Philippines received an award for health and safety in the 8th Annual Health and Safety Awards given by the Philippines Department of Labor and Employment. Ford Philippines was recognized for its holistic approach to occupational health and safety, and for having in place standard programs and processes, including safety standards and procedures, safety trainings, standardized work procedures, visual factory systems, general safety promotions, health and wellness programs, and fire safety assessments, as well as corporate citizenship programs.

• In Taiwan, Ford Lio Ho received a Corporate Role Model Award from the local government, for being a leader in providing a comfortable, encouraging and innovative work environment for employees. The award is also based on health and safety practices, employee development and training, compensation and benefits, gender equality and employee support programs.

• Ford Australia won two coveted Australia’s Best Cars awards in 2012, given by Australia’s top motoring organizations. The Ford Falcon G6 with EcoBoost was voted Best Large Car Under $60,000, and the six-speed automatic Focus Titanium turbo-diesel was voted the country’s Best Small Car Over $35,000.

• In the Philippines, the Ford Explorer 3.5L AWD was named Car of the Year.

• The Ford Ranger was named a Top 12 Best Buy for 2012 by CAR Magazine in South Africa, and Ute of the Year for 2012 by Delivery Magazine in Australia.

• The Ford Focus was named New Zealand Car of the Year by New Zealand Motoring Writers’ Guild.