More truck production cuts for Ford

Ford Motor Company said it is making further reductions to its North American truck production plan while adding more small cars, crossovers, and fuel-efficient powertrains, as the company responds to the continued deterioration in the United States business environment and the accelerated shift away from large trucks and SUVs.

The company now expects U.S. industry volume in 2008 — including medium and heavy vehicles — to be between 14.7 million and 15.2 million units, compared with the previous assumption of 15 million to 15.4 million units.

Accordingly, in the third quarter, Ford now plans to produce 475,000 vehicles, a reduction of 50,000 units from previously announced plans and a decline of 25 percent compared with the 2007 third quarter. In the fourth quarter, Ford plans to produce 550,000 to 590,000 units, a reduction of 40,000 units from previously announced plans and a decline of 8 to 14 percent versus the 2007 fourth quarter.

Ford is taking these production actions:

  • Production of the 2009 F-150 now will begin in August at the Kansas City Assembly Plant and in September at Dearborn Truck. One shift will be eliminated at both Kansas City (from two to one) and Dearborn (from three to two). Dearborn Truck will be idled most of the third quarter.

  • Michigan Truck Plant will be idled for nine consecutive weeks beginning the week of June 23, in line with demand for the company's full-size SUVs.

  • One shift of production will be eliminated at the Louisville Assembly Plant for mid-size SUVs in the third quarter.

  • The line speed for large pickups will be reduced at Kentucky Truck Plant in the third quarter.

  • Production will wind down at Cuautitlan Assembly Plant in Mexico by the end of 2008. The plant, which now produces large pickups, will be retooled for production of the new Fiesta small car for North America beginning in early 2010.

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