{"id":17768,"date":"2021-03-31T10:38:33","date_gmt":"2021-03-31T02:38:33","guid":{"rendered":"https:\/\/ljdevice.com.tw\/?p=17768\/"},"modified":"2021-03-31T11:08:41","modified_gmt":"2021-03-31T03:08:41","slug":"chip-shortage-detroit-automakers-struggling-maintain-truck-production-meet-orders","status":"publish","type":"post","link":"https:\/\/ljdevice.com.tw\/en\/chip-shortage-detroit-automakers-struggling-maintain-truck-production-meet-orders\/","title":{"rendered":"Chip shortage has Detroit automakers struggling to maintain truck production and meet orders"},"content":{"rendered":"<p>MAR 22 2021<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-medium wp-image-17769\" src=\"https:\/\/ljdevice.com.tw\/wp-content\/uploads\/2021\/03\/104540255-GettyImages-611664576-ford-trucks-300x169.jpg\" alt=\"\" width=\"300\" height=\"169\" \/><\/p>\n<p><!--more--><\/p>\n<div class=\"group\">\n<p>Detroit automakers are struggling to keep production and shipments of highly profitable pickup trucks going as interruptions in manufacturing across the world have led to a\u00a0<a href=\"https:\/\/www.cnbc.com\/2021\/02\/11\/how-covid-led-to-a-60-billion-global-chip-shortage-for-automakers.html\">global semiconductor chip shortage<\/a>\u00a0that\u2019s hitting the automotive industry.<\/p>\n<p><a href=\"https:\/\/www.cnbc.com\/quotes\/F\" target=\"_blank\" rel=\"noopener noreferrer\">Ford Motor<\/a>\u00a0on Monday said it is cutting a shift at its Kentucky Truck Plant in Louisville that produces its larger F-Series pickups and full-size SUVs. It\u2019s also temporarily shuttering a plant in Ohio that builds vans and other trucks. Both plants are expected to return to normal production in a week, according to the company.<\/p>\n<div class=\"BoxInline-container \"><\/div>\n<p>The cuts come after Ford joined\u00a0<a href=\"https:\/\/www.cnbc.com\/quotes\/GM\" target=\"_blank\" rel=\"noopener noreferrer\">General Motors<\/a>\u00a0on Thursday in confirming it is\u00a0<a href=\"https:\/\/www.cnbc.com\/2021\/03\/18\/ford-cutting-shifts-partially-building-f-150s-due-to-chip-shortage.html\">partially assembling some trucks<\/a>\u00a0to be stored until parts become available.\u00a0<a href=\"https:\/\/www.cnbc.com\/quotes\/8TI-FF\" target=\"_blank\" rel=\"noopener noreferrer\">Stellantis<\/a>, formerly Fiat Chrysler, also recently confirmed it was partially assembling some of its older Ram pickups due to a lack of semiconductor chips.<\/p>\n<p>\u201cWe are working closely with suppliers to address potential production constraints tied to the global semiconductor shortage and working to prioritize key vehicle lines for production, making the most of our semiconductor allocation,\u201d Ford spokeswoman Kelli Felker said in an emailed statement.<\/p>\n<p>For months, automakers have been prioritizing assembly of high-margin vehicles such as pickups by cutting production of cars and crossovers. The most recent actions show the difficulties facing the companies as they attempt to maintain production of those vehicles.<\/p>\n<\/div>\n<div id=\"Placeholder-ArticleBody-Video-106847271\" class=\"PlaceHolder-wrapper\" tabindex=\"0\" data-vilynx-id=\"7000179426\" data-test=\"VideoPlaceHolder\">\n<div id=\"InlineVideo-0\" class=\"InlineVideo-videoEmbed\" data-test=\"InlineVideo\">\n<div class=\"InlineVideo-wrapper\">\n<div class=\"InlineVideo-inlineBackgroundImageContainer\">\n<div class=\"undefined PlayButton-container \" data-test=\"PlayButton\">\n<div class=\"PlayButton-featured PlayButton-base \" data-type=\"play\"><span class=\"PlayButton-flyout\">WATCH NOW<\/span><\/div>\n<\/div>\n<\/div>\n<div class=\"InlineVideo-videoFooter\">\n<div class=\"InlineVideo-videoDurationContainer\"><span class=\"InlineVideo-videoLabel\">VIDEO<\/span><span class=\"InlineVideo-videoDuration InlineVideo-videoLabel\">09:26<\/span><\/div>\n<div class=\"InlineVideo-title\">How the global computer chip shortage happened<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"PlaceHolder-endCard PlaceHolder-inactive\"><\/div>\n<\/div>\n<div class=\"group\">\n<p>Thus far, GM and Stellantis have been successful in keeping truck production up and running more than Ford, which previously\u00a0<a href=\"https:\/\/www.cnbc.com\/2021\/02\/04\/ford-forced-to-cut-pickup-production-due-to-semiconductor-shortage-.html\">cut shifts of its F-150 pickup.<\/a><\/p>\n<p>Semiconductor chips are extremely important components of new vehicles for infotainment systems, power steering and brakes, among other systems. The parts can contain several sizes and different types of chips.<\/p>\n<div class=\"MidResponsive-midResponsiveContainer\"><\/div>\n<p>Consulting firm AlixPartners forecasts the shortage will cut\u00a0<a href=\"https:\/\/www.cnbc.com\/2021\/02\/11\/how-covid-led-to-a-60-billion-global-chip-shortage-for-automakers.html\">$60.6 billion in revenue<\/a>\u00a0from the global automotive industry this year. GM expects the problem will reduce its free cash flow by $1.5 billion to $2 billion this year. Ford said the situation could lower its earnings by $1 billion to $2.5 billion in 2021.<\/p>\n<p>Automotive executives have characterized the situation as fluid. Stellantis CEO Carlos Tavares earlier this month said the shortage might not be fully resolved until next year. GM CFO Paul Jacobson last month called the shortage a \u201cshort-term\u201d problem, saying the company hopes to make up much of its lost production due to the chip shortage in the second half of the year.\u00a0<a href=\"https:\/\/www.cnbc.com\/quotes\/VOW3-DE\" target=\"_blank\" rel=\"noopener noreferrer\">Volkswagen<\/a>\u00a0of America CEO Scott Keogh told<a href=\"https:\/\/www.cnbc.com\/squawk-box-us\/\">\u00a0CNBC\u2019s \u201cSquawk Box\u201d<\/a>\u00a0on Monday the shortage is expected to last into the fall, but \u201cit is something we are navigating week by week.\u201d<\/p>\n<\/div>\n<div id=\"Placeholder-ArticleBody-Video-106857210\" class=\"PlaceHolder-wrapper\" tabindex=\"0\" data-vilynx-id=\"7000182779\" data-test=\"VideoPlaceHolder\">\n<div id=\"InlineVideo-0\" class=\"InlineVideo-videoEmbed\" data-test=\"InlineVideo\">\n<div class=\"InlineVideo-wrapper\">\n<div class=\"InlineVideo-inlineBackgroundImageContainer\">\n<div class=\"undefined PlayButton-container \" data-test=\"PlayButton\">\n<div class=\"PlayButton-featured PlayButton-base \" data-type=\"play\"><span class=\"PlayButton-flyout\">WATCH NOW<\/span><\/div>\n<\/div>\n<\/div>\n<div class=\"InlineVideo-videoFooter\">\n<div class=\"InlineVideo-videoDurationContainer\"><span class=\"InlineVideo-videoLabel\">VIDEO<\/span><span class=\"InlineVideo-videoDuration InlineVideo-videoLabel\">03:35<\/span><\/div>\n<div class=\"InlineVideo-title\">Volkswagen of America CEO on push to compete in the EV market<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"PlaceHolder-endCard PlaceHolder-inactive\"><\/div>\n<\/div>\n<div class=\"group\">\n<p>GM has temporarily shuttered or cut production at several plants that produce cars or crossovers to prioritize production of its full-size pickups and SUVs. Plants in Kansas and Ingersoll, Ontario, are expected to remain closed until at least mid-April. They shuttered in early February.<\/p>\n<p>\u201cGM continues to leverage every available semiconductor to build and ship our most popular and in-demand products, including full-size trucks and SUVs for our customers,\u201d GM spokesman David Barnas said in an emailed statement. \u201cWe have not taken downtime or reduced shifts at any of our full-size truck plants due to the shortage.\u201d<\/p>\n<p>Another GM plant in Mexico is expected to reopen in two weeks after being shuttered Feb. 8, while a plant in Michigan is expected to reopen by April after halting production a week ago. GM plants in Brazil and South Korea also have been affected by the shortage.<\/p>\n<p>Source:<a href=\"https:\/\/www.cnbc.com\/2021\/03\/22\/chip-shortage-has-detroit-automakers-struggling-to-maintain-truck-production-and-meet-orders.html\">Chip shortage has Detroit automakers struggling to maintain truck production (cnbc.com)<\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>MAR 22 2021<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[609],"tags":[],"class_list":["post-17768","post","type-post","status-publish","format-standard","hentry","category-industrial-news"],"_links":{"self":[{"href":"https:\/\/ljdevice.com.tw\/en\/wp-json\/wp\/v2\/posts\/17768","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ljdevice.com.tw\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ljdevice.com.tw\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ljdevice.com.tw\/en\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/ljdevice.com.tw\/en\/wp-json\/wp\/v2\/comments?post=17768"}],"version-history":[{"count":2,"href":"https:\/\/ljdevice.com.tw\/en\/wp-json\/wp\/v2\/posts\/17768\/revisions"}],"predecessor-version":[{"id":17793,"href":"https:\/\/ljdevice.com.tw\/en\/wp-json\/wp\/v2\/posts\/17768\/revisions\/17793"}],"wp:attachment":[{"href":"https:\/\/ljdevice.com.tw\/en\/wp-json\/wp\/v2\/media?parent=17768"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ljdevice.com.tw\/en\/wp-json\/wp\/v2\/categories?post=17768"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ljdevice.com.tw\/en\/wp-json\/wp\/v2\/tags?post=17768"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}