Ford ramps up F-Series pickup production after supplier fires
Ford continues to increase production of full-size F-Series pickups after fires at the New York facility of aluminum supplier Novelis significantly affected vehicle output. As CNBC Top News reports, dealers are expected to receive more of these vehicles in the coming weeks and months.
Ford's U.S. sales chief Rob Cauffl said dealers will see the results of increased production over the next 30, 60 and 90 days. According to him, the company has a significant number of vehicles already on their way to dealerships or in the supply chain.
Production returns to usual levels
Ford said production of F-Series pickups, which include the F-150 and larger models in the lineup, had risen every month since the start of the year and reached or slightly exceeded historical levels. In August, the company produced 57,504 F-150 pickups, the highest monthly figure in the past two years, according to the automaker.
More current news is available on the UA.News Telegram channel Telegram.
Ford dealers currently have a supply of pickups equivalent to about 40 days of sales. This is about half the level the industry usually considers sufficient for such vehicles. The company is targeting inventory of 50 to 60 days, while 75 to 90 days has historically been considered normal for the industry.
U.S. sales are declining
At the same time, in August Ford recorded its eighth consecutive month of year-over-year declines in new vehicle sales in the United States. Total sales volume fell by 10.3% compared with the same month a year earlier. F-Series sales were down 10.9% year to date and declined by 1.2% in August.
The company explained that the figures were also affected by the discontinuation of two models earlier this year and a planned reduction in sales to daily rental company fleets. Ford estimates the industry-wide decline in new vehicle sales in the United States at 6%. The fires at the Novelis facility will cost the automaker $1.5 billion this year, according to Ford's estimate.
