Article 5FHFW Ford to build some F-150 trucks without certain parts due to global chip shortage

Ford to build some F-150 trucks without certain parts due to global chip shortage

by
Kirsten Korosec
from Crunch Hype on (#5FHFW)

Ford said Thursday that some some Ford F-150 pickup trucks and Edge crossover without certain electronic modules due to a twofold punch of a global semiconductor shortage and a lack of parts caused a winter storm.

Ford said it will build and hold the vehicles for a number of weeks, then ship the vehicles to dealers once the modules are available and comprehensive quality checks are complete. The automaker also said it is canceling shifts tonight and Friday at Louisville Assembly Plant due to the semiconductor-related part shortage. Ford said production of the Escape and Lincoln Corsair is expected to resume Monday on short shifts, with full production scheduled to resume Tuesday.

Ford isn't alone in its decision to build vehicles without certain parts as the global chip shortage drags on. GM said earlier this week that certain pickup trucks would be produced without a fuel management module, a device that will prevent these vehicles from achieving top fuel economy performance.

Both Ford and GM have previously issued guidance that the chip shortage will impact its financial results in 2021. Ford has said that if the semiconductor shortage scenario is extended through the first half of 2021, the shortage could lower its between $1 billion and $2.5 billion, net of cost recoveries and some production make-up in the second half of the year. GM said in February that the global shortage of semiconductors will have a short-term impact on its production, earnings and cash flow in 2021.

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