How Does Ford Make Money in China?
Ford Motor Company (NYSE: F) has become a major player in the huge and growing Chinese new-car market. Ford and its joint ventures sold 1.27 million vehicles in China in 2016, and those joint ventures generated $1.44 billion in equity income for the Blue Oval.
Clearly, for Ford investors, tracking the company's results in China has become significant. But Ford's China results can be confusing, given that its sales in China include vehicles from two joint ventures as well as its own global production.
Here's a quick explanation of where Ford's vehicles in China come from and how the company reports the profits it makes from selling those vehicles in the world's largest auto market.
Source: Fool.com
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