Ford's gas-electric vehicles will be profitable for the first time ever in 2008, hybrid program director Nancy Gioia said at the Detroit auto show. She said Ford has reduced the cost of producing its Escape, Mercury Mariner and Mazda Tribute hybrids by 30 percent since production first began, and the introduction of the Fusion and Mercury Milan hybrid sedans will push costs down further.

Ford will launch production of the hybrid Fusion an Milan later this year, Gioia told Automotive News. Ford currently sells about 21,000 Mariner and Escape hybrids per year, and those numbers could increase considerably when the new sedans join the fold.
Automakers have struggled to produce hybrid vehicles at a profit, because pricing them too high negates any possible savings in fuel costs for consumers. Because all five of the automaker's hybrid vehicles will share the same powertrain and battery pack, increased sales volume should help reduce costs associated with building the vehicles.