U.S based automotive manufacturer Ford Motor Co. (F) is set to suspend or cut production activities in eight of its factories across the U.S, Mexico and Canada this week citing the global chip shortage which has largely affected the industry.
This development was announced by the company’s spokeswoman late last week. A few days ago, the company had warned the shortage in chip supply could result to a decline in vehicle volume in the current quarter.
Car production in factories in Michigan, Chicago and in Cuautitlan, Mexico will be suspended. Similarly, production of the company’s F-150 pickup trucks in Kansas city will be idled while one shift will run for production of its Transit vans.
Ford will also be running a single shift or a reduced schedule of at its factories in Dearborn, Kentucky and Louisville. In addition, the automaker will also scrap away overtime at its Oakville factory in Canada.
All the announced changes will come into effect staring from February 7.