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William Maley

Ford News: Ford Plans Downtime At 5 North America Plants

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Ford will be temporarily shutting down production lines at five of their North American plants to help cut down on the inventory of slow-selling models.

According to Automotive News, Ford will be shutting down both of their plants in Mexico. The Cuautitlan assembly plant, which is home to the Fiesta will be down for three weeks. Hermosillo which builds the Fusion and Lincoln MKZ will take a two-week break. In the U.S., Flat Rock (Mustang and Continental) and the Transit production line at Kansas City will also be down for two weeks. Michigan Assembly in Wayne will be down for just a week. It is unknown when the shut downs will begin.

"We are continuing to match production with customer demand, as we always do, and we are on track for our dealer inventories to remain at planned levels by year-end," a Ford spokeswoman said in an email.

At the start of this month, Ford had an 87-day supply of Fusions, 103-day supply of Transits, 111-day supply of Mustangs, and a 162-day supply of Continentals. Automakers try to shoot for a 65 to 70-day supply of vehicles.

Source: Automotive News (Subscription Required), Reuters


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“Planned downtime”. The words we are looking for here are “temporary layoffs”. 

 

And 162 days for the Continental? Holy crap! That’s not good for a car that’s been out barely a year. 

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Totally makes sense, the auto's that many are not buying are in glut mode, so stop productions, sell through hoping to minimize rebates to maximize profits and then start back up once inventories fall.

I have to questions if the 1,2 & 3 week shutdowns is enough though since the sales of those types of auto's are falling like a rock especially as we go into fall and with Winter. I would think getting to a 45-60 day inventory would be best.

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3 hours ago, surreal1272 said:

“Planned downtime”. The words we are looking for here are “temporary layoffs”. 

 

And 162 days for the Continental? Holy crap! That’s not good for a car that’s been out barely a year. 

That is not good at all....!

Got to drive an Audi A5 at the last Autocross, one of the MINI Cooper guys had it out on coil overs and sticky tires.

I am falling hard for European cars at the moment, although I still love American and Asian iron.

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@surreal1272 and @A Horse With No Name

Totally agree that 162 days is not good for the Continental. I think they might need 5 to 6 weeks shutdown to get the inventory under control. 

Yes we have seen GM do this too, but the change over is making way too many people rethink a mid size or full size car in place of a CUV.

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Being proactive in controlling supply is a good and bad thing.  

It certainly can be a PR nightmare, but better to temporarily halt production of some of their models and suffer the slings and arrows.

But, since i believe Ford is one of the most proactive manufacturers in a number of ways it makes me more confident in them.

And it would be good to have context looking at some of the supply numbers.  For instance, although a 162 day supply of Continentals is probably not 'great' news, I wonder what the count is for some of its competitors?

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11 hours ago, ccap41 said:

162 days??? So there are 5 Continentals sitting on lots? 

Selling one every 32.4 days is kinda scary for a CEO who signed off on a billion dollar investment. :P 

10 hours ago, FAPTurbo said:

if it's not moving, it should be called the lincoln constipation

This Car needs an Enima! :o

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16 hours ago, A Horse With No Name said:

That is not good at all....!

Got to drive an Audi A5 at the last Autocross, one of the MINI Cooper guys had it out on coil overs and sticky tires.

I am falling hard for European cars at the moment, although I still love American and Asian iron.

I loved driving my brother's A5 (was an 11model).  Kind of wish I had bought it.  It was a blast to drive and was the first years they offered the Z 8 speed auto. 

 

Welcome to the new reality of car sales. 

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17 hours ago, A Horse With No Name said:

That is not good at all....!

Got to drive an Audi A5 at the last Autocross, one of the MINI Cooper guys had it out on coil overs and sticky tires.

I am falling hard for European cars at the moment, although I still love American and Asian iron.

No question about the Audi's!  

A client of mine bought an A4 and it is definitely a great little (not so little anymore actually) car.

Of all the German makes, Audi's interiors are the best from an aesthetic and ergonomic standpoint too.

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I expect more coming. Everyone hyped the hurricane was going to help folks get new/used cars, but I am pretty sure 100% had either basic coverage or none at all-so you are not going to see 100% replacements either. And Ford has been slumping for a while.....

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On 9/21/2017 at 7:20 AM, lengnert said:

Being proactive in controlling supply is a good and bad thing.  

It certainly can be a PR nightmare, but better to temporarily halt production of some of their models and suffer the slings and arrows.

But, since i believe Ford is one of the most proactive manufacturers in a number of ways it makes me more confident in them.

And it would be good to have context looking at some of the supply numbers.  For instance, although a 162 day supply of Continentals is probably not 'great' news, I wonder what the count is for some of its competitors?

I really really really really really really really really really dislike it when people blame GM and Ford for poor planning in terms of inventory.  They are the only two full like manufacturing companies for vehicles in the US.

A huge thank you to lengnert for a very rational post.

On 9/21/2017 at 12:58 PM, ccap41 said:

FD7527CA-541E-4400-A983-117463814F4E.jpeg

C58F5193-227A-4179-A6B9-AE5C82F6BE18.png

The crusher will be very busy.

On 9/20/2017 at 10:41 PM, FAPTurbo said:

if it's not moving, it should be called the lincoln constipation

On 9/20/2017 at 10:41 PM, FAPTurbo said:

if it's not moving, it should be called the lincoln constipation

Well, most of them are long, black and slow moving so there is at least a slight resemblance to the results of constipation.

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On 9/21/2017 at 9:58 AM, ccap41 said:

FD7527CA-541E-4400-A983-117463814F4E.jpeg

C58F5193-227A-4179-A6B9-AE5C82F6BE18.png

Yes they are all totaled by insurance companies, but we do not know if they will all get replaced. Also, I wonder how many will end up back in the Title Ghost pool and end up out of state after being dried out as a low miles car sold to some unsuspecting person because of the title wash.

Buyer beware!

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32 minutes ago, dfelt said:

Yes they are all totaled by insurance companies, but we do not know if they will all get replaced. Also, I wonder how many will end up back in the Title Ghost pool and end up out of state after being dried out as a low miles car sold to some unsuspecting person because of the title wash.

Buyer beware!

Yeah, it worries me a bit. Was looking into a older Cruze (15-16) to run in our fleet while we save for a larger SUV (really don't want to lease one), and compacts used are pretty cheap right now. Would like a southern one (no rust), but I worry it could be a flood car....

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23 minutes ago, daves87rs said:

Yeah, it worries me a bit. Was looking into a older Cruze (15-16) to run in our fleet while we save for a larger SUV (really don't want to lease one), and compacts used are pretty cheap right now. Would like a southern one (no rust), but I worry it could be a flood car....

Cruze is probably cheap enough to buy new with incentives.

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On 9/22/2017 at 11:48 PM, A Horse With No Name said:

Cruze is probably cheap enough to buy new with incentives.

Kinda...new even with rebates are still 17-18k

15-16 models can be had around 10k with some pretty low miles......

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On 9/24/2017 at 1:22 AM, daves87rs said:

Kinda...new even with rebates are still 17-18k

15-16 models can be had around 10k with some pretty low miles......

That is impressive low cost for that car!

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On 9/25/2017 at 8:23 AM, A Horse With No Name said:

That is impressive low cost for that car!

 

That's what I thought....but no one really wants them around here...local dealership has a 16 Limited LT with 12k for like 11.5k.......

Helps I like the old style Cruze too....:)

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On 9/26/2017 at 1:39 PM, daves87rs said:

 

That's what I thought....but no one really wants them around here...local dealership has a 16 Limited LT with 12k for like 11.5k.......

Helps I like the old style Cruze too....:)

It does help indeed....your older Chevy's are not going to run forever.

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19 minutes ago, A Horse With No Name said:

It does help indeed....your older Chevy's are not going to run forever.

Unless you want them too. :) Course maybe convert the powertrain to something a bit more fun too. :P 

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15 hours ago, dfelt said:

Unless you want them too. :) Course maybe convert the powertrain to something a bit more fun too. :P 

A seventy eight year old Dave cruising in his Cavalier has some appeal!

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3 hours ago, A Horse With No Name said:

A seventy eight year old Dave cruising in his Cavalier has some appeal!

Or Someone has a Cherry Condition Z24 for Dave to buy! ;):P 

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