Ford Suspending F-150 Production Due to Plant Fire

Ford F150

So far Ford has been hit hardest by parts shortages.

GM, by contrast, said it had experienced no disruption to its Delta Township or Grand River plants.

Ford Motor Company (NYSE:F) has halted production of its best-selling F-150 truck at two assembly plants after a fire last week at one of its supplier's plants caused a parts shortage. Since there trucks don't have the same production volume as the more popular consumer models including the F-150, F-250 and F-350, the OH plant will be able to go the longest on the inventory of parts on hand. Meridian produces instrument panel components at the plant, with annual production of around 13,140 net metric tons (14,484 tons), the supplier's website said. Executive Vice President and President of Global Operations Joe Hinrichs said that Ford "is confident that any impacts will be short term", and indicated that inventories of the F-150 are "strong".

Ford has not given a specific timeframe for the shutdown.

The automaker said that it is "working with its supply base" to address the parts shortage, but Klefot said that uncertainties remain about the length of the shutdown because the damage at the Eaton Rapids plant is still being assessed. Besides Ford Motor Company, BMW, General Motors, Mercedes-Benz were affected by the fire.

"There's a lot of demand for these light-weighting materials", she said. "We have to rebuild the whole supply chain", he added.

If the situation drags on for more than 30 days, however, consumers will likely begin to be deprived of the models they're nterested in. enerally this starts to happen when stocks drop below the 50-day mark. Meridian makes the die-cast components in the trucks.

A message was left Thursday for officials at Meridian.

The Meridian plant in Eaton Rapids, Michigan, also supplies other automakers, but it's not clear yet how wide the impact will be. The company employs 400 people who will be advised of the company's plans to lay off workers on Thursdy.

Hackett has also said Ford will accelerate investments in self-driving vehicles, electric cars and other technology.

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