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Ford to chop F-150 pickup truck manufacturing resulting from chip scarcity

2021 Ford F-150 Restricted

Ford

DETROIT — Ford Motor is as soon as once more chopping manufacturing of its extremely worthwhile F-150 pickup truck and two different autos subsequent week because of the ongoing international scarcity of semiconductor chips.

The automaker on Thursday confirmed its Oakville Meeting Plant in Canada and Kansas Metropolis Meeting Plant in Missouri can be down the week of Aug. 30. Oakville builds the Ford Edge and Lincoln Nautilus crossovers. Kansas Metropolis assembles the F-150.

Ford additionally will reduce two of three shifts subsequent week at its Dearborn Truck Plant in Michigan, which produces the F-150.

“Our groups proceed benefiting from our out there semiconductor allocation, discovering distinctive options to offer as many high-quality autos as attainable to our sellers and clients,” the corporate stated in an announcement.

The Kansas Metropolis plant was already down this week because of the chip scarcity.

The components scarcity has brought about rolling shutdowns of automotive meeting vegetation globally all through this yr. Ford has been hit notably onerous by the shortage of chips, shedding about 50% of its deliberate manufacturing within the second quarter.

The origin of the scarcity dates to early final yr when Covid brought about rolling shutdowns of auto meeting vegetation. Because the services closed, the wafer and chip suppliers diverted the components to different sectors equivalent to shopper electronics, which weren’t anticipated to be as damage by stay-at-home orders.

The issue is anticipated to value the worldwide automotive business $110 billion in income in 2021, in response to consulting agency AlixPartners.

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