Shrinking demand for big pickups and sport utility vehicles has prompted Ford Motor Co. to revise its production plans and postpone the launch of its new F-150 truck, the automaker said Friday.

The Dearborn, Mich.-based automaker also indicated 2008 earnings are expected to be lower than in 2007, unless the economy gains steam. In 2007, the company's overall net loss totalled $2.7 billion.

"We view the move to smaller, more fuel-efficient vehicles as permanent, and we are responding to customer demand," Ford CEO Alan Mulally said in the statement.

"For the long term, we are moving fast to introduce more small cars, crossovers and fuel-efficient powertrains — including more hybrids — and we will adjust our manufacturing facilities to match our updated product lineup."

The company also said Friday that Canada's Oakville plant will add a third shift in the third quarter to increase production of the Ford Edge, Lincoln MKX and Ford Flex crossover vehicles.

But at truck plants in the U.S., shifts will be cut and production idled. The Kansas City assembly plant will push back production of the 2009 F-150 until August, while the Dearborn truck plant won't begin until September. Both factories are scaling back production, each cutting one shift, and the Dearborn truck plant will be idled for most of the third quarter.

Production of Lincoln Navigator and Ford Expedition SUVs at the Michigan truck plant will be idled for nine weeks as of Monday. Assembly line speed for large pickups at the Kentucky truck plant in Louisville will be slowed in the third quarter.

The company said it also plans to convert the Cuatitlan assembly plant in Mexico at the end of the year. Production at the plant will change focus from pickup trucks to manufacturing of the new Fiesta mini-car.

Ford shares fell more than eight per cent, or 51 cents US, to close at $5.81 on the NYSE.

With files from the Associated Press