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Ford, GM Halt Production At Some North American Plants: What You Need To Know

General Motors Co (NYSE: and Ford Motor Co (NYSE: GM) are halting production at some of their plants in the U.S.

Benzinga · 04/29/2022 02:44

General Motors Co (NYSE: and Ford Motor Co (NYSE: GM) are halting production at some of their plants in the U.S. due to part shortages, Argus Media reported on Thursday, citing company spokespersons.

What Happened: Ford's plant at Flat Rock, Michigan, will be shut on April 28 and 29 for semiconductor-related shortages, according to the report.

GM earlier this week shut its Bowling Green, Kentucky, Corvette plant due to shortages of non-semiconductor parts. The plant is expected to come back online on May 2.

See Also: Ford Plans More Price Hikes As It Sees $4B Commodity Headwinds This Year

Why It Matters: The chip crunch has forced automakers from Detroit to Japan to halt production and rush to make their most profitable models first. 

Ford previously shut production at the Flat Rock facility on April 4. 

The Dearborn, Michigan-based legacy automaker on Wednesday told analysts during a call that it expects $4 billion headwinds this year and that it has built about 53,000 vehicles but not shipped them because of the chip shortage. 

See Also: GM, Ford's Temporary Shutdowns Over Chip Shortage Spread To More Factories In North America

Price Action: GM closed 0.23% higher at $38.7 on Thursday and Ford closed 1.5% lower at $14.6.