Ford losing millions per day due to a strike halting Focus production
Due to a strike in Germany, Ford is losing millions with production at a standstill in Saarlouis, Germany where the Ford Focus is built.
Ford’s production lines in Saarlouis have been halted since Friday due to a strike at five surrounding suppliers.
The Ford Focus is the only vehicle currently being built at the facility. When up and running, the plant cranks out about 600 Focus models every day. However, Ford has already announced plans to end production as it transitions to EVs in Europe.
An Automotive News Europe report last month claimed Ford is ending Focus production in Saarlouis next year.
Uncertainty around the plant’s future sparked after Ford decided to build its next-gen EVs in Spain rather than in Germany.
Ford agreed to a deal last month at the plant, including keeping 1,000 workers employed until the end of 2032. No forced layoffs until then, and employees can choose to leave early with an “attractive and well-funded severance deal,” according to the report.
Strike in Germany halts Ford Focus costing millions
Meanwhile, the strike at surrounding suppliers caused Ford to stop Focus production last week. A Ford spokesperson told Automobilwoche the strike is costing about €1 million ($1.09 million) per day.
Around 500 IG Metall employees went on strike, forcing the automaker to halt Focus production due to parts shortages.
Benjamin Gruschka, Ford General Works Council Chairman, said production could resume “quite quickly” if suppliers get back to work. According to reports, there’s been little progress so far. Benteler said it has “significantly improved offers” but has yet to reach an agreement.
Ford did not comment on how Focus deliveries will be impacted, but delays are expected. The suppliers are seeking a collective agreement like the one Ford reached with employees at Saarlouis.
Ford has been searching for investors for the plant. At one point, China’s BYD was in the running but has since backed out with plans to build its own facility in Europe.
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Due to a strike in Germany, Ford is losing millions with production at a standstill in Saarlouis, Germany where the Ford Focus is built.
Ford’s production lines in Saarlouis have been halted since Friday due to a strike at five surrounding suppliers.
The Ford Focus is the only vehicle currently being built at the facility. When up and running, the plant cranks out about 600 Focus models every day. However, Ford has already announced plans to end production as it transitions to EVs in Europe.
An Automotive News Europe report last month claimed Ford is ending Focus production in Saarlouis next year.
Uncertainty around the plant’s future sparked after Ford decided to build its next-gen EVs in Spain rather than in Germany.
Ford agreed to a deal last month at the plant, including keeping 1,000 workers employed until the end of 2032. No forced layoffs until then, and employees can choose to leave early with an “attractive and well-funded severance deal,” according to the report.
Strike in Germany halts Ford Focus costing millions
Meanwhile, the strike at surrounding suppliers caused Ford to stop Focus production last week. A Ford spokesperson told Automobilwoche the strike is costing about €1 million ($1.09 million) per day.
Around 500 IG Metall employees went on strike, forcing the automaker to halt Focus production due to parts shortages.
Benjamin Gruschka, Ford General Works Council Chairman, said production could resume “quite quickly” if suppliers get back to work. According to reports, there’s been little progress so far. Benteler said it has “significantly improved offers” but has yet to reach an agreement.
Ford did not comment on how Focus deliveries will be impacted, but delays are expected. The suppliers are seeking a collective agreement like the one Ford reached with employees at Saarlouis.
Ford has been searching for investors for the plant. At one point, China’s BYD was in the running but has since backed out with plans to build its own facility in Europe.
FTC: We use income earning auto affiliate links. More.
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