Ford
- Ford will temporarily shut factories in the US, Canada, and Mexico due the global chip shortage, CNBC reported.
- Ford told CNBC it planned to cut production of its Ford Mustang, Bronco Sport SUV, and F-150 pickup.
- The automaker unveiled its new fully-electric F-150 Lightning pickup this week.
- See more stories on Insider's business page.
Ford plans to temporarily shut eight factories due to a global shortage of semiconductor chips, according to an internal memo viewed by CNBC.
The automaker told CNBC that it plans to cut production due to the chip shortage, including its Ford Mustang, Bronco Sport SUV, and F-150 pickup models.
The eight plants to close include facilities in Chicago, Mexico, and Canada, the memo reportedly said.
"Our teams continue making the most of our available semiconductor allocation and will continue finding unique solutions to provide as many high-quality vehicles as possible to our dealers and customers," Ford said in a statement to CNBC.
The company plans to close its Dearborn, Michigan truck plant for two weeks starting May 31, and reopen on a reduced schedule from June 14, according to the memo.
Ford recently showed off a fully-electric version of its popular F-150 pickup, the F-150 Lightning EV, which will be produced at the Rouge Electric Vehicle Center in Dearborn, Michigan. This is a seperate factory, and was not mentioned in the memo.
President Joe Biden visited the new facility earlier this week to promote his $2 trillion infrastructure plan, which includes a $174 billion investment in electric vehicles.
In April, Ford said that it expected production to drop 50% in the second quarter due to the chip shortage, before bottoming out and then increasing during the rest of 2021.
Ford said the chip shortage would cost the automaker about $2.5 billion this year.
