• Wall Street Journal, Wednesday, May 6, 2009 11:03 AM

Ford today will detail plans to convert its Michigan truck plant into a facility that will produce the same Ford Focus small-car line that it builds in Europe and Asia, giving the company global economies of scale. It hopes to revive the car's reputation in the U.S., where it has not been successful, by producing a battery-powered model, its first all-electric passenger car, Matthew Dolan reports.

Ford initially aimed the Focus at young urban hipsters in the U.S. but the marketing alienated much of Ford's core customers. When the Focus arrived from Europe, early models were stripped of features to reduce its price, resulting in a less desirable vehicle. Models here sold for about $17,000 compared to about $30,000 in Europe.

Ford will need to raise the car's average price to generate a profit. CEO Alan Mulally says he's confident that the new models will allow it to price its cars higher as U.S. consumers come to view its small cars as being on par with competitors.

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