He said: "We will invest in the vehicles, services, segments and markets that best support a long-term sustainably profitable business, creating value for all our stakeholders and delivering emotive vehicles to our customers".
Ford said it was starting formal consultation with its works council and trade unions, adding that it was committed to working with its key stakeholders over the new strategy.
To improve near-term financial performance, Ford will be reducing the complexity of existing Ford products, optimizing the most profitable vehicle configurations and increasing volumes of profitable vehicle lines. He said that business changes could be "significantly more dramatic" regarding the company's United Kingdom plants in the event the country crashes out of the bloc without a deal - a scenario that could see, among other things, tariffs imposed on goods traded and widespread disruption at ports.
The automaker wants to reduce "surplus labour across all functions", and is hoping to achieve much of this through "voluntary employee separations".
Over the long term, Ford is targeting earnings before interest and taxes of 6% of sales in Europe.
The company said it would shift to more electric models and that every model from now on will have a battery version, whether a hybrid that combines internal combustion and battery power or a battery-only version.
Ford also will build on its success in the growing utility segment in Europe.
Ford Europe, which now employs 53,000 people, has struggled to turn a profit, reporting a €245 million ($282 million) loss before interest and taxes in the third quarter, equivalent to a negative 3.3% EBIT margin.
At the timer, the brand referred to the reports as "speculation".
Ford's new strategy will result in a more efficient and focused business.
Ford (F) said it would end production of some unprofitable models and shift its strategy in hard regional markets including Russian Federation.
Ford employs around 53,000 people at its wholly-owned facilities in Europe - over a quarter of its worldwide total. A review of the Ford Sollers joint venture in Russian Federation is expected to conclude in the second quarter, it said. Several significant restructuring options for Ford Sollers are being considered by Ford and its partner, Sollers PJSC.
It will also review its operations in Russian Federation, and combine the headquarters of Ford UK and Ford Credit to a site in Dunton, Essex. "The union will also and campaign strongly for Bridgend to have a viable future", Des Quinn, automotive spokesman at Unite, said in a statement on Friday.
As the global auto market shows first signs of a slowdown after years of growth, Ford has overhauled its global operations, exiting the sedan business in America to focus on bigger vehicles and shifting its Chinese business to more local production.