Ford has moved to halt production of its sales-king in the US, the F-150 pickup, as demand for the model and others eases in its home market.
The carmaker will switch the lights off at plants in Kansas City three others for at least one week (more in some cases), and up to 13,000 workers will be forced to take temporary holidays.
Industry paper Automotive News reports that the F-150 delivered a staggering 90 percent of Ford’s operating profits during Q2 of this year, but a three percent slide in sales last month has left dealers with around 95 days’ supply sitting on lots. That’s a lot of trucks…
Should sales return to normal this month, production at Ford’s Michigan plant should ensure sufficient supply of the F-150 is maintained.
Also on the bench for Ford is a pair of SUVs in the Escape and the Lincoln MKC, with Escape sales down 12 percent last month. Fiesta and Fusion (Mondeo) production will also ease as two plants in Mexico are rested with sales of the latter down 17 percent last month.
"During our second quarter financial call, we said we expected the overall retail industry to decline in the second half of the year from the same period last year,” Ford’s Kelli Felker said.
“We also said to expect to see some production adjustments in the second half - this is one of them. We continue matching production to meet demand."
The latest halt to production for Ford comes after the Mustang factory in Michigan was also paused in recent weeks.
Despite the Mustang’s sales-triumph in the US and many of its new markets in2016, the pony car took a sudden dip in sales in its home market last month - down 32 percent.
The downturn saw the Mustang’s main rival in the Chevrolet Camaro chalk up more sales than the Ford for the first time in two years.
While the US may have quenched its thirst for the Mustang, the waiting list in Australia still stretches well into next year.
But as production of the Mustang in the US is scheduled to resume this week, it seems unlikely that an increase in numbers for Australia will have materialised during the break.
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