Ford idling 8 factories for weeks in July and August due to semiconductor shortage
Supply issues forcing summertime to become downtime for the auto giant
2021 Ford Bronco production underway in Michigan amid chip shortage
Ford confirmed that 125,000 of the 190,000 reservations it has received for the off-road SUV have already been converted to orders. FOX Business’ Jeff Flock with more.
Ford is suspending production at eight North American factories for various periods of time in July and August due to the ongoing semiconductor shortage, including one that builds its best-selling F-150 pickup.
"While we continue to manufacture new vehicles, we're prioritizing completing our customers' vehicles that were assembled without certain parts due to the industry-wide semiconductor shortage," the automaker said in a statement provided to Reuters.
Ford's Chicago Assembly Plant, which produces the Explorer and Lincoln Aviator, will be closed the weeks of July 5, 12, 19 and 26 and the Kansas City Assembly Plant were some F-150s are built will be down the weeks of July 12 and 19, Reuters reported.
According to a letter obtained by the Detroit Free Press, the Dearborn Truck Plant, where the F-150 is also produced, will drop from three to two shifts the weeks of July 12, 19 and 26; Flat Rock Assembly, which only builds the Ford Mustang, will be idled the weeks of July 12 and 19; the Kentucky Truck Plant that assembles full-size SUVs and Super Duty trucks will close the week of July 12 and go to two shifts the weeks of July 19, 26 and Aug 2; and the Hermosillo Mexico factory that builds the hot-selling Bronco Sport compact SUV will take downtime the weeks of July 12 and 19.
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The Louisville Assembly Plant in Kentucky and Oakville Assembly Complex in Canada will also run on a reduced schedule for several weeks, which will affect output of the Escape, Edge and Lincoln Corsair.
The Michigan Assembly Plant that builds the Ranger pickup and recently launched Bronco SUV will also be idled the weeks of July 5 and 26 due to an unspecified parts supply issue that's not related to the semiconductor shortage.
During its first-quarter earnings call in April, Ford projected it would lose 1.1 million units of production and $2.5 billion in 2021 as a result of the various production problems it has been dealing with.