Chip Shortage has Ford Building Trucks Without Them
#Ford #trucks #chips
Ford (NYSE:F) said it will build the Edge SUV without computers and ship them later, plus it will cancel some shifts Thursday and Friday at an assembly plant in Louisville, Kentucky, where the Ford Escape SUV is made.
A global semiconductor shortage and February Winter storms combined to force Ford to build F-150 pickup trucks without some computers.
The company says the pickups will be held at factories for "a number of weeks," then shipped to dealers once computers are available and quality checks are done.
The move is the latest effect from the global semiconductor shortage, which earlier this wk forced Honda and Toyota to announce production cuts at some North American factories. Also, General Motors has been forced to build pickups without some computers and install them later.
Ford's move is likely to tighten inventory of F-Series pickups, the Top-selling vehicles in America. Inventories already are tight due to high demand and production losses due to last year's virus-related factory shutdowns.
Automakers have said they do not expect the chip shortage to get any better before Q-3 of this yr. Ford has said the shortage could cut its pretax earnings by $1 to 2.5-B, even if it makes up for some of the lost production in the second half of the year.
HeffX-LTN is Bullish FoMoCo but with a Very Bullish long term bias. The Key support is at 12.05 and the Key resistance is at 12.53. Our long term outlook is at 16/share. Currently Ford is trading at 12.49 within its 52 wk trading range of 3.96 - 13.62.
Have a healthy day, Keep the Faith!
#Ford, #F, #FoMoCo, #trucks, #pickups #chips, #support, #resistance, #Bullish, #semiconductor, #GM, #Honda, #Toyota,
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