Ford Shortens Summer Holiday in the US to Increase Production image

Ford announced it will add an extra week of production at 20 plants in North America to manufacture 40,000 vehicles more and keep gains up in the US.

Today, May 22nd, Ford said that these 20 plants will be idled this summer for just one week instead of the traditional two-week summer holiday period. This is the second consecutive year when the automaker makes this move, at a time when the company’s sales are surpassing the overall auto market in the US. There has been a boost in demand for trucks, such as the F-150, as the housing market in the US has continued to increase.

“There’s a lot of pent-up demand, particularly in trucks, as the age of the fleet is as old as it’s ever been in North America,” said Jim Tetreault, head of Ford’s manufacturing operations in North America.

The US automaker has also been adding shifts and now more than 75% of Ford’s plants are working on two or more daily shifts. The new shifts and the shorter summer holiday will help Ford manufacture additional 240,000 units annually. During the first four months of the year Ford’s sales were up 13% in the US, compared with a broader market increase of 7%.

Source: Reuters