Ford's global boss has shown off a concept car that can 'communicate' with other vehicles while telling Sky News he is "very encouraged" by evidence of recovery in the European market.
In an interview in Berlin with Sky's Martin Stanford, Alan Mulally dismissed suggestions that industry sales - hit by the effects of the euro area's debt crisis - were rising again on the continent due to cheap government-supported credit.
He pointed to vehicle innovation and the stabilisation of the world economy: "The US is of course recovering from a very deep recession, but it's still growing at around 2%," Mr Mulally said.
He added that the end of the recession in the eurozone and the 6% to 7% growth rate in China provided a "tremendous opportunity" for further growth.
He continued: "We are very pleased with the way the industry has stabilised as far as auto motor sales both in the United States, which is growing, and also in Europe now.
Ford: S-Max concept car 'communicates' with other vehicles "Worldwide, the [car] industry is growing at around 5% and Ford is probably in the best position we've ever been in.
"In Asia Pacific it's the fastest growing market in the world."
Mr Mulally was attending the IFA trade show to unveil new in-car technologies which he said would improve fuel efficiency and road safety.
The new S-Max concept was at the heart of his pitch.
The technology - developed by Ford and other manufacturers - would soon allow, Ford said, for cars of any make to communicate their presence to other vehicles using the road.
The interior of the S-Max shown off in Berlin A driver's smartphone or other such device allowed, he said, improved connectivity through voice-activation, with even a driver's heart beat being monitored.
"Now is a very exciting time as the car becomes one of the connected devices on the internet," Mr Mulally said.
"As it becomes more knowledgeable, the driver has a lot more situational awareness.
"Our whole goal, by adding advanced technology, is to allow the driver to know more about the situation and to be an even better driver."
Mr Mulally was confident about the future of electric cars, despite sluggish industry sales.
"I think the electrification of our vehicles absolutely is the future," he said.
"It's all going to be dependent on the improvement that we make on the economics, and that really is going to be led by the cost, weight and efficiency of the battery."
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