The Globe and Mail

Ford of Canada's market share is up almost three per cent on the year, as are sales in a market down by 15.5 per cent through the end of September. You would think Ford Canada president and CEO Dave Mondragon would be celebrating.

He's not. Sure, Ford may have paid down $10-billion (U.S.) in debt recently – cutting operating expenses by some $500-million (U.S.) – and Ford has avoided taking taxpayer bailout money, too. But as he pointed out yesterday at Ford Canada headquarters, no one is celebrating victory – not in this tough market.

There are new models to launch, new technologies to develop, launch and explain, financial results to report, and labour deals to negotiate and ratify.

In fact, with Ford's U.S. operations having agreed to a new labour pact with the United Auto Workers – one that faces a tough ratification vote among UAW members – Ford's attention is turning to Canada and the Canadian Auto Workers.

Ford's top labour boss, Joe Hinrichs, also a former head of Ford Canada, will be here next Monday to work on negotiations with the CAW. The goal is to get Ford Canada the same labour deal Chrysler and General Motors enjoy as a result of the taxpayer bailout of those two companies – both of which recently came out of bankruptcy in the U.S.

Negotiations will be tough and, ironically, they will not likely be helped by what may turn out to be a surprise third quarter profit for Ford. Mondragon was careful not to discuss financial results specifically, though he appeared to suggest the third quarter would be worth watching.

JP Morgan analysts are not so shy. According to the Detroit Free Press, they have told investors that Ford Motor Co. could report a surprise third quarter profit at the end of the month. Himanshu Patel is reported to have said Ford will report a profit of 16 cents per share (figures in U.S. currency) for the three-month period ending Sept. 30.

Sales are up not just in Canada for Ford and Ford is doing less discounting. Ford's residual values have improved, profits in Europe (along with market share) are on the rise and in North America the profitable F-150 pickup is doing well.

Even if Ford manages to get into the black, there remains no shortage of demands on its cash. One place Ford plans to spend heavily is in a campaign to explain its new EcoBoost engine technology.

According to reports, Ford will spend a sum equal to an entire new-vehicle launch to tell customers about its new direct injection, turbocharged engines. Ford says EcoBoost offers up to a 20 per cent increase in fuel economy over older, bigger engines – without a loss of performance.

"EcoBoost is a big deal for our customers, and it will be one of the fundamental technologies that differentiates Ford," said Jim Farley, Mondragon's boss as Ford Motor group vice president, global marketing and Canada, Mexico and South America operations, in Automotive News.

While at Ford Canada headquarters yesterday, I drove the newly introduced Lincoln MKT crossover with its EcoBoost 3.5-litre V-6 engine (355 hp). Lots of power there, power like a V-8. The EcoBoost V-6 is also in the 2010 MKS sedan, Taurus SHO and is an option for the 2010 Ford Flex crossover.

Next year a 1.6-litre, inline four-cylinder EcoBoost will be available in Europe. Eventually, Ford expects to produce 1.3 million EcoBoost engines annually by 2013.

Mondragon said EcoBoost is real technology that is available right now for consumers. The constant buzz about electric cars and plug-in hybrids and hydrogen fuel cell cars is interesting, but for now and the foreseeable future, buyers need real technology answers today. That's EcoBoost, he said.

Still, Ford does have an active electric and hybrid program in place. The company is poised, in fact, to pass Honda as the No. 2 hybrid seller in North America. And yesterday Ford announced that current hybrid director Nancy Gioia is moving into a new job as Ford's director of global electrification.

Gioia believes that hybrids, plug-in hybrids and battery-electric cars will account for 10-25 per cent of new car sales by 2010, reports the New York Times. Battery technology and the question of electric-vehicle charging remain huge hurdles to the wholesale adoption of electric cars, however.

But again, Mondragon has a more pressing concern than the challenges of 2020. Next year Ford is scheduled to launch an electric version of the Transit Connect work van and Ford Canada is expected to offer it here. A Ford Focus-based battery car is in the works for 2011, too.

The celebrating is obviously on hold.