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Ford suspends F-150 production due to parts shortage

11 Mai 2018

A fire on May 2 at a Eaton Rapids, Michigan plant operated by Meridian Lightweight Technologies stopped production of die-cast components used in F-150 and Super Duty trucks.

The assurance likely came as a relief to investors, given that F-Series trucks account for most of Ford's profits. "I think this is going to be a problem that haunts Ford for the next 6, 12, 18 months", says Pellathy.

"On average, it takes 76 days for an F-150 to sell, so the company does have a bit of a cushion", Drury said. Ford's stock fell almost 2 percent by market closing.

"It's a very fluid situation", said spokesperson Kelli Felker. "We are working hard to get replacement parts".

But General Motors has been forced to stop producing full-size vans at a factory in Missouri, and production of Fiat Chrysler's Pacifica minivan has been curtailed in Windsor, Ontario. Those are the only plants that make the truck. The company is working with other suppliers to minimize the disruption.

"The automotive industry is heavily connected through the supply base", said Charlie Chesbrough, chief economist for Cox Automotive. "This isn't like picking up screws at the hardware store".

The major fire occurred May 2 at a large parts plant in a small MI town.

Super Duty trucks continue to roll off the line at Ford's Ohio Assembly Plant in Avon Lake, Ohio. Two people were injured in the fire, and the plant's roof was destroyed in the process. More than 70 percent of SUV output is for export. Mercedes is investing $1 billion at the site for production of electric cars, including battery manufacturing, and to expand logistics operations. The Dearborn shutdown will affect another 4,000 workers. The Associated Press reports that Ford has an 84-day supply of trucks at its dealerships. Ford's entire sales for the period were 804,232, down 3.3%. "Customers won't have any trouble finding the F-Series that best meets their needs". But Ford appears to be the hardest hit, especially considering the booming demand for its full-size pickup which has been the nation's best-selling motor vehicle for decades, almost 900,000 F-150s sold previous year. Other companies in the Lansing area are reaching out to displaced Meridian workers. "Everybody needs it. Everybody wants it, and the supply chain isn't mature yet for this kind of volume".

Ford suspends F-150 production due to parts shortage