Ford to Shut Production in North America Due to Chip Shortage

On Wednesday, 30^th June 2021, Ford Motors announced, several of the company’s factories in the region of North America are going to be shut for some weeks in the months of July and August 2021 because of the shortage of the semiconductors across the globe. The decrease in the supply of the semiconductors could possibly cost 2.5 billion dollars in 2021, and it will also decrease the vehicle production by 50 percent in the second quarter of 2021.

Ford Motor Co., said in a statement, as they are continuing to produce the new vehicles, they are also prioritising the completion of the vehicles of their customers, that had been assembled without certain parts because of the shortage of the semiconductor based on the industry.

The company also said, the assembly plant of the company based in Chicago, that generally manufacture’s the Explorer SUVs, are going to be shut from 5^th July 2021 to 26^th July 2021, and the plant is going to be running two shifts during the month of August 2021.

The company also said, it would possibly shut the production line for one of the company’s bestselling vehicles, called as the F-150 pickup truck, which is produced at the assembly plant of Ford based in Kansas City for some weeks in August 2021.

The company is also going to close its Michigan assembly plant, which had recently started shipping of its Bronco SUVs, and the plant will also be down for around two weeks in July 2021 because of a shortage of several auto parts.