Ford extending plant shutdowns over chip shortage

Ford Motor Company
Greg Nash

Four Ford plants in the U.S. and one in Canada will continue to be shut down as the company responds to the global shortage of semiconductor chips, which are used in high-tech devices and in particular many automobiles.

The Wall Street Journal reported Thursday that the shutdown will affect four plants in Chicago, Detroit, and Kansas City, Mo., and would last for an additional two weeks. The affected plants previously halted production earlier this month.

One additional plant in Ontario will undergo one week of extra downtime in May, according to the Journal.

The Hill has reached out to Ford for comment on the shutdowns. They come as the global semiconductor shortage has continued to vex numerous companies and automakers, in particular, causing production shutdowns and billions in lost revenue.

Ford said in March that it would take a $1 billion hit to its expected profits this year due to the semiconductor shortage, and said that it would update that number this month.

The shutdowns will affect the production of Ford’s full-size Explorer SUV as well as the company’s Transit-class vans, according to the Journal.

President Biden signed an executive order in late February hoping to spur U.S. production of semiconductors and met with auto industry executives to address the shortage earlier in April.

Tags Automotive industry Chicago Detroit Ford Joe Biden kansas city semiconductor shortage
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