The Truth About Cars » production halts http://www.thetruthaboutcars.com The Truth About Cars is dedicated to providing candid, unbiased automobile reviews and the latest in auto industry news. Wed, 16 Jul 2014 04:01:57 +0000 en-US hourly 1 http://wordpress.org/?v=3.9.1 The Truth About Cars is dedicated to providing candid, unbiased automobile reviews and the latest in auto industry news. The Truth About Cars no The Truth About Cars editors@ttac.com editors@ttac.com (The Truth About Cars) 2006-2009 The Truth About Cars The Truth About Cars is dedicated to providing candid, unbiased automobile reviews and the latest in auto industry news. The Truth About Cars » production halts http://www.thetruthaboutcars.com/wp-content/themes/ttac-theme/images/logo.gif http://www.thetruthaboutcars.com Carmakers Snowed, Stop Lines http://www.thetruthaboutcars.com/2010/12/carmakers-snowed-stop-lines/ http://www.thetruthaboutcars.com/2010/12/carmakers-snowed-stop-lines/#comments Thu, 16 Dec 2010 07:19:56 +0000 http://www.thetruthaboutcars.com/?p=377441

Due to missing parts, GM, Ford and Chrysler had to shut down plants in the U.S. and Canda, or put them on half shifts for the second day, Reuters reports.

  • GM’s Lansing Grand River plant in Michigan is shut down, and six other plants have shortened or suspended shifts
  • Ford suspended production early at their Oakville assembly plant in Ontario. Some of their plants in Canada and the U.S. missed production earlier, he said.
  • Chrysler factories in Toledo, Ohio, and Brampton, Ontario, were shut down this morning to resume production later in the day.

As reason for the temporary shutdowns, winter storms were cited that stranded trucks and disrupted delivery. However, the true reasons run deeper:

  • There is an industry-wide constraint for parts. Carmageddon has left many parts makers bankrupt and closed. Surviving ones had scaled down. Now the survivors are swamped.
  • The fragile just-in-time system is easily impacted by force majeure in the best of times. During shortages, a snowflake can cause a crisis.
  • Demand for certain car segments and makes is shifting quickly as the market reorients. Sudden demand often outruns supply, especially when lean production has the factory starving for parts.

But hey, missing parts is a better problem than missing customers.

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