Fiat Chrysler Announces 3,200 Extended Vacations in Toledo
To get its Toledo Assembly Complex ready for the all-new 2018 Jeep Wrangler, Fiat Chrysler Automobiles needs to go dark for a little while, meaning extended vacays for thousands of employees.
The proper term would be “temporary layoff,” but in an autoworker’s life, a job you know you can go back to makes these hassles forgivable. In this case, Toledo needs six months to retool.
Trump's NAFTA Remarks Point to Few Changes for Canada, Plenty for Mexico
After several weeks spent wondering just how the continent’s trade landscape will look after president Donald Trump renegotiates the North American Free Trade Agreement, the business world now has a slightly clearer picture of where the pieces may land.
Trump spoke briefly about his trade goals with both Mexico and Canada after meeting with Canadian Prime Minister Justin Trudeau at the White House.
One Million Jobs Lost Due to Fuel Economy Regulations? Not So Fast, Mr. Fields
Ford CEO Mark Fields used a potential worst-case scenario as the premise for his statements last month when he claimed new federal fuel economy rules would cost the nation one million jobs.
Independent industry analysts and environmental groups looked into Fields’ comments and found huge job losses were just one potential — and unlikely — consequence in a September report by the Center for Automotive Research, Automotive News reported.
Uncertainty Reigns as Trump Hits the Throttle on NAFTA Reform
President Donald Trump doesn’t want to waste any time renegotiating — or replacing — the North American Free Trade Agreement.
Yesterday, Trump announced his intention to speed up the start of negotiations, leading to much diplomatic scurrying and plenty of confusion among the ranks of North American suppliers. No one knows how the trade landscape will look once talks wrap up.
While the move aims to boost U.S. employment, many U.S. companies, as well as America’s neighbors, fear downsides from potential tariffs.
Chevrolet Cruze Given More Vacation Time as GM Drains Product Glut
The compact Chevrolet Cruze will get more time off this year, which isn’t something the people who build it want to hear.
According to The Detroit News, General Motors is planning to add “several weeks” of downtime at its Lordstown, Ohio assembly plant as the once hot-selling passenger car market takes an ice water bath. The plant saw a third production shift cut last month, impacting 1,200 line workers.
This latest news comes at an ominous time for builders of traditional cars.
Union Head Calls for Trump's Politics in Wake of Canadian GM Plant Layoffs
Workers at General Motors’ CAMI Assembly plant in Ingersoll, Ontario, are reeling after the automaker announced the loss of more than 600 jobs.
The unexpected move comes after the facility recently gave up production of the next-generation GMC Terrain to focus solely on the Chevrolet Equinox. The 2018 Terrain’s new home? Mexico.
As expected, the autoworkers’ union is livid, having been told nothing about job losses during the changeover.
Trump Proposes 20-percent Tax on Mexican Goods to Pay for Wall; Other Countries Could Take a Hit
Consumer products and vehicles produced outside of the U.S. could see a big hike in sticker price if the Trump administration goes ahead with a proposed plan to tax Mexican goods — and eventually all foreign goods — to the tune of 20 percent.
The White House said today the measure is being looked at as part of a wide-ranging tax overhaul package under consideration by Congress. The announcement came after an anticipated visit by Mexican President Enrique Pena Nieto went south.
The Big Three Go to Washington: Breakfast Ensues, While Mexico Stews
At the start of the second real workday of the Trump administration, the leaders of the Detroit Three automakers marched into the White House for a breakfast meeting with their newly minted president.
We don’t know for sure what they ate, but we can relate what they talked about. This won’t come as a shock: investment. Specifically, assembly plant investment in the U.S., rather than Mexico.
Ford CEO Mark Fields, General Motors CEO Mary Barra and Fiat Chrysler Automobiles CEO Sergio Marchionne knew the landscape they were entering. Yesterday, Trump signed an executive order that pulled the U.S. out of the Trans-Pacific Partnership and moved to renegotiate the North American Free Trade Agreement. Today, he signed an executive action to advance approval of the Keystone XL and Dakota Access pipelines.
Deals. Besides perhaps eggs and toast, Trump wanted deals. Or, at this early point, promises and assurances at the very least.
Canada's Detroit Three Union Boss Seems Pretty Darned Pleased After Trump's Trade News
Reactions are varied following this morning’s announcement that President Donald Trump will renegotiate the North American Free Trade Agreement and pull the country out of the Trans Pacific Partnership.
North of the border, however, the leader of Canada’s Detroit Three autoworkers was apparently dancing a jig. Unifor president Jerry Dias seemed thrilled when he appeared on talk radio to sing the praises of the president’s executive actions. Trump’s moves are “a great opportunity to right the ship,” he said.
GM Brings $1 Billion to the Make America(n Manufacturing) Great Again Party, Recalls Axle Work From Mexico
Not wanting to be left out of the flurry of recent U.S. investment announcements from various automakers, General Motors arrived at the party with cash in hand and second thoughts about Mexico.
GM says it will invest an extra $1 billion in its U.S. operations, with the cash covering several new vehicle projects, as well as some advanced technologies and components initiatives. The funding comes hot on the heels of similar announcements from Ford, Fiat Chrysler Automobiles and, just this morning, Hyundai/Kia.
In a nod to the political climate in America, GM will shuffle some outsourced parts production back to U.S. soil.
Ford Scraps Planned Mexican Plant as CEO Promises U.S. Investment, Jobs
Ford Motor Company CEO Mark Fields didn’t completely walk back the company’s long-range production plans today, but the automaker pull a hard U-turn on one goal.
In a speech at the automaker’s Flat Rock, Michigan assembly plant this morning, Fields said he was “encouraged” by President-elect Donald Trump’s “pro-growth policies.” Because of this, the Blue Oval’s planned $1.6 billion small car plant in Mexico is now off the table. Instead, the automaker will expand and modernize Flat Rock as it brings a slew of promised hybrid and electric vehicles to production.
GM to Throttle Back Production, Idle Plants as Car Glut Grows
(Update: This story has been updated to reflect new information.)
Not since the dark days of the recession has General Motors had so many vehicles clogging its inventory.
Bursting at the seams with unsold cars (but not trucks or SUVs), the automaker will temporarily turn out the lights at five assembly plants and kill off three shifts in order to bring things back into balance. For thousands of workers, that means the kind of extended Christmas holiday you don’t want.
Former Home of Diamond-Star Motors Now Home to a Mystery
An abandoned assembly plant in Normal, Illinois, could once again become a beehive of car-building activity.
Opened in 1988 as a collaborative effort between Chrysler and Mitsubishi, the plant served as headquarters for a great 1980s corporate relic — Diamond-Star Motors. In its heyday, the facility dutifully cranked out Plymouth Lasers, Mitsubishi Eclipses, and Eagle Talons, before Chrysler lost interest in the 50-50 deal.
Turned over to Mitsubishi in 1995, the plant soldiered on after Diamond-Star Motors bit the dust. What followed was a parade of forgettable nameplates — Mitsubishi Mirage, Eagle Summit, even the Dodge Stratus Coupe — before a final shutdown earlier this year eliminated the last of 1,250 jobs and production of the Outlander Sport.
Now, the 2.4 million square foot plant could soon be home to a shadowy new tenant.
Volkswagen Tosses 30,000 Overboard to Right the Ship
Volkswagen has reached an agreement with its workers to cut 30,000 jobs as it tries to restructure the company for the future. The decision comes as VW faces a watershed moment in the wake of a self-made disaster.
Partly Due to Cadillac Sales, GM Cuts 2,000-plus Jobs in Michigan, Ohio
Lackluster demand for several General Motors models has forced the automaker to announce shift cuts at two assembly plants, leading more than 2,000 lost jobs.
It’s unpleasant news for autoworkers in America’s manufacturing heartland, but the General hints that four-wheeled saviors are on the way.
Why Is Trump Bashing Ford, Praising Caterpillar as Both Send Jobs to Mexico?
So, there’s an election on, and a certain candidate has made some high-profile, sometimes inflammatory comments about American manufacturing and jobs being sent south of the Rio Grande. That person’s name is Donald T. No, perhaps that’s too obvious. D. Trump.
The Republican nominee recently found himself in a cage match with Ford Motor Company CEO Mark Fields after accusing the automaker of sending its jobs to Mexico. But one manufacturer that Trump does favor, one that he invests heavily in and whose products he plans to use to build a certain wall, also has a “Mexican problem.”
Budding Tesla-Panasonic Romance is Western New York's Gain
Sparks flew when Tesla teamed up with Panasonic to produce battery packs at the automaker’s Nevada Gigafactory. Of course, it helped that the Japanese battery maker brought $1.6 billion of its own money to the table.
After it tested the waters and liked what it saw, Tesla has now inked an agreement with Panasonic to bring jobs — hopefully long-lasting ones — to Buffalo, New York.
Volkswagen Finds a Way to Dump Huge Numbers of Employees and Keep the Union Happy
Volkswagen’s plan to cut costs by cancelling underperforming models isn’t enough to right the scandal-rocked ship.
With an incredibly powerful workers union breathing down its neck, trimming its ranks has proved a tough operation. Meanwhile, there’s only so many models it can drop, and bills are coming due from the many fines, settlements, and lawsuits stemming from the diesel debacle.
How does Volkswagen get rid of 25,000 employees while placating a union boss who sits on the supervisory board?
According to Reuters, the answer comes down to one word: attrition. Specifically, retiring Baby Boomers.
Fiat Chrysler, Unifor Clear 'Major Obstacles' Before 11th Hour Contract Deal
A weekend meeting with Fiat Chrysler Automobiles CEO Sergio Marchionne led to a final-hour tentative agreement between the automaker and the union representing Detroit Three autoworkers in Canada, Unifor president Jerry Dias claims.
The deal, announced five minutes before Monday’s 11:59 p.m. strike deadline, means 3,500 Brampton assembly plant workers face a less uncertain future than before.
Cadillac Dealers Unhappily Jump Aboard Project Pinnacle
A large-scale culling of Cadillac dealers won’t come to pass, but that doesn’t mean franchise owners are giddy about joining the automaker’s controversial Project Pinnacle.
An overwhelming majority of the brand’s 925 U.S. dealers have opted to sign on to the program, ignoring company president Johan de Nysschen’s last-minute buyout offer to 400 low-volume locations.
Plants, Parts and Pay on the Table as Fiat Chrysler Tries to Avert Midnight Strike
Fiat Chrysler Automobiles must make some pricey commitments to head off a midnight strike by its Canadian autoworkers.
Bargaining teams from FCA and Unifor, which represents Detroit Three autoworkers in Canada, worked throughout the weekend to nail down a contract deal patterned on the recent General Motors agreement.
Without product commitment for its Brampton assembly plant and Etobicoke casting plant, among other sticking points, workers could walk off the job tonight.
No Turkey for Fiat Chrysler, Unifor as Monday Strike Deadline Looms
Canada, as the New York Times helpfully points out, actually celebrates Thanksgiving (!), but bargaining teams from Fiat Chrysler Automobiles and autoworkers union Unifor won’t get to enjoy it.
The two groups are expected to bargain down to the last minute as contract talks approach Monday night’s strike deadline, the Windsor Star reports. Unlike recent bargaining between Unifor and General Motors, the FCA negotiations have been whisper quiet, but that doesn’t mean there isn’t action happening behind the scenes.
Falcon Name Bites the Dust as Ford Pulls Out Down Under
It’s a sad day in Australia as Ford Motor Company closes the door on 91 years of domestic vehicle production.
Some 600 Ford employees are now out of work after the automaker shut down factories in Melbourne and Geelong. This marks not just the end of Australian Ford production, but the death of a long-running nameplate.
Ex-employee Sues Tesla, Claims Age Discrimination Led to Firing
A materials engineer fired by Tesla Motors earlier this year is suing the automaker, claiming that his age led to the dismissal.
The discrimination suit filed by Thomas Flessner, 69, paints a picture of a Logan’s Run-like corporate atmosphere that values youth above all else, Fusion reports. It’s the latest in a steady stream of complaints about the youth-focused culture within the tech industry.
GM-Unifor Deal Won't Fly With Ford Workers: Union Official
GM Canada autoworkers seemed pretty pleased with the contract deal their union reached with the company, but Ford needs to put something different on the table to satisfy its employees.
The president of a Unifor local representing Canadian Ford workers said his members would have voted down the GM deal, Reuters reports.
$56,410 Per Job? GM Could Get a Hefty Government Payout For Assembly Plant Investment
It looks like the prospect of getting a partial payback for its investment could have hastened the deal reached between General Motors Canada and its autoworkers’ union.
The automaker could have up to 40 percent of the money invested in its Canadian operations handed back by the Ontario and Canadian governments, according to a report in the Globe and Mail.
If the full amount is realized, it means a government cash injection of $56,410 per autoworker.
GM Autoworkers Ratify $421 Million Contract; Fiat Chrysler Negotiations Come Next
Unionized General Motors workers in Canada ratified a new collective agreement yesterday, with the automaker agreeing to invest $421 million ($554 million CAD) into its northern operations.
The deal, which sees full-size pickup final assembly come to Oshawa, was sealed after 64.7 percent of the Unifor members voted to approve it. With this nail-biter of a negotiation done (the last-minute deal averted a looming strike), contract negotiations begin with Fiat Chrysler Automobiles.
Cadillac President Will Pay Dealers to Disappear
If dealership owners spring for a recent offer by the president of Cadillac, expect to see a vastly reduced brand presence in towns and cities across the U.S.
Johan de Nysschen is offering 400 low-volume Cadillac dealers cash to close up shop and walk away, Automotive News reports.
BREAKING: GM Canada, Unifor Reach Tentative Deal, Avoid Strike; Oshawa Plant Saved
After contract negotiations went right down to the midnight deadline, GM Canada and autoworkers union Unifor reached a tentative deal last night, averting a looming strike at Canadian GM plants.
Bargaining teams from the automaker and Unifor, which represents Detroit Three workers in Canada, reached what union boss Jerry Dias called “a framework for a tentative agreement.” Not only does the deal avert a shutdown at three Ontario GM facilities, it saves the threatened century-old Oshawa assembly plant.
No jobs will be lost, and a new (but unnamed) product will go into production in Oshawa.
With No New Product Promised, GM Canada Workers Could Walk Off the Job at Midnight
GM Canada and the union representing Detroit Three autoworkers north of the border have entered their final day of contract talks ahead of a midnight strike deadline.
Unless both sides achieve a breakthrough today, there’s little reason to believe a walkout at the company’s Oshawa, Woodstock and St. Catharines, Ontario facilities won’t occur as the clock strikes twelve.
Government Cash Could Sweeten GM Canada Contract Talks; CAMI Workers and UAW Vow to Support Strike
With GM Canada and Detroit Three autoworkers union Unifor making little headway in contract negotiations, the possibility of government subsidies has raised its head.
At week’s end, the two sides were reportedly far apart as the clock ticks down to possible strike action at midnight on September 19. With General Motors as its strike target, Unifor lists new investment and product at the endangered Oshawa assembly plant as its number one demand.
According to the Detroit Free Press, the Canadian workers’ union boss is encouraged by talk of indirect federal government intervention.
Unifor Picks GM as Target Company as Clock Ticks Towards Potential Strike
The union representing Detroit Three autoworkers in Canada has chosen General Motors as its target company as contract negotiations get serious.
Agreements reached between Unifor and GM will set the pattern for negotiations with Ford and Fiat Chrysler. However, the potential closure of GM’s Oshawa assembly plant means a strike is almost inevitable if the automaker doesn’t reverse course and offer up a big investment.
No More Mr. Nice Guy, Says Canadian Detroit Three Union Boss on Strike Chances
President for the union representing Detroit Three autoworkers north of the border says he has learned from past contract battles, and won’t make the same mistake this time.
Jerry Dias, president of Unifor, promises that no contract deal will be ratified without firm product commitments, including at General Motors’ endangered Oshawa assembly plant. If GM intends to shut that operation down, a Canada-wide strike is virtually guaranteed.
Oshawa Will Lose 'Doomed' Consolidated Line in 2017: Report
There might be some light at the end of the assembly line for Oshawa — but it will come with a price.
According to the Windsor Star, the plant’s Consolidated Line, which produces the Chevrolet Equinox in an overflow capacity using bodies shuttled from CAMI, won’t get another stay of execution and will certainly close in 2017.
However, a General Motors Canada executive familiar with the negotiations says that closing the Flex Line is not a “foregone conclusion.”
Overfinch Sets Up Shop in Virginia, Aims to Make Range Rovers Great Again
This small-scale British invasion is good news for U.S. Range Rover owners whose vehicle just don’t feel exclusive enough.
UK-based Overfinch, which designs and installs mechanical and appearance “enhancements” for Range Rover products, is coming to the small city of Danville, Virginia. The 40-year-old company plans to open new retail outlets, in addition to its product development and engineering facility.
Fiat Chrysler Makes Billion-Dollar Jeep Investment; Dodge Dart is Gone in September
Fiat Chrysler Automobiles is flinging cash at its Midwestern assembly plants as part of its world-conquering plan to boost Jeep production.
Yesterday, the automaker announced $1.05 billion in funding to retool its Belvidere, Illinois and Toledo, Ohio production facilities, and issued a kill date for one of its least popular products.
GM Reaches Deal With Bankrupt Parts Supplier, But Parts Supply Still Shaky
General Motors executives are breathing a sigh of relief after the automaker reached a deal with a supplier that threatened to shut down GM’s entire U.S. assembly operation.
The automaker hammered out an agreement with the bankrupt Clark-Cutler-McDermott Company, a supplier of trim and acoustic insulation that GM had been propping up financially since March, the Wall Street Journal reports.
GM Workers, Union Aren't About to Let Oshawa Become the Next Flint
General Motors’ Oshawa, Ontario assembly plant is bleeding vehicles and in danger of closing, but the city and its workers aren’t going down without a fight.
GM employees, their union, and local government representatives want a new mandate to produce vehicles beyond 2017, invoking images of Flint, Michigan in their battle with the automaker. The recent announcement of 700 new provincewide engineering jobs doesn’t cut it, they say.
To them, GM’s silence reeks of an exit strategy.
Mr. Musk Goes to Seoul: Tesla Gets Ready to Tap South Korea for Sales
South Koreans are used to having a bunch of Americans hanging around, but the arrival of a group of Tesla employees won’t be welcomed by executives at Hyundai.
Tesla wants into the South Korean marketplace, and just posted job listings for sales and engineering positions in the Asian country, Bloomberg reports. Already registered in South Korea, the automaker plans to open up an office in Seoul and hire a recruiter based out of Japan.
Michigan Lures Tremec Transmission Plant, HQ to the Detroit Area
A major automotive supplier plans to build a production facility in the Detroit area and make it the base for its U.S. operations.
Tremec Corp., best known for its high-performance transmissions, plans to invest $54 million in a multi-purpose facility in Wixom, Michigan, according to Crain’s Detroit Business. Besides production of transmissions and powertrain components, the facility will host Tremec’s sales and technical operations, and serve as its American headquarters.
Oshawa GM Plant Worries Increase; City Demands EV Production and Meeting With CEO
Last week’s General Motors announcement in Oshawa, Ontario felt like an olive branch being extended to the worried community, but workers and the city itself are now asking for the full meal.
The threatened Oshawa Car Assembly plant has no mandate to produce vehicles beyond 2017, and the announcement of 700 high-tech engineering jobs scattered around southern Ontario (and some in the north) didn’t do anything to calm fears of its impending closure.
GM Effectively Names Canada Its Global Homeroom for Advanced Vehicle Development
General Motors Canada announced today, along with Prime Minister Justin Trudeau and Ontario Premier Kathleen Wynne, that it will bolster engineering and software development efforts in Canada with a 700-job strong hiring initiative.
The work in question will focus on autonomous driving software and controls, connected vehicle tech, active safety and vehicle dynamics technology.
Coming Home: Silverado 1500 Crew Cab Production Heads to Flint
It looks like Mexico couldn’t handle the demand.
After sending some of the production of its light-duty trucks south of the border in 2013, General Motors will soon begin assembly of the Chevrolet Silverado 1500 crew cab in Flint, Michigan, according to MLive.
British Invasion: Cosworth to Set Up Shop in Detroit
A company whose name is synonymous with performance wants to put down roots in Big Three territory.
Cosworth, the British manufacturer of specialized engine parts and electronics, aims to open a $30 million plant in the northern suburbs of Detroit by 2018, Automotive News reports.
A Unionized Tesla? UAW Considering a Push for Musk's Workers
The folks at United Auto Workers are eyeing Tesla’s production targets and making plans.
The electric automaker wants to manufacture 500,000 vehicles per year in 2018, and the union wants the workers behind those EVs in its fold, according to USA Today (via Left Lane News).
Though it hasn’t announced anything officially, UAW boss Dennis Williams recently expressed interest in unionizing Elon Musk’s California assembly plant employees.
Dodge Grand Caravan Given a Stay of Execution: Report
Production of the world’s most recognizable minivan might not end next year after all.
If a report published by the Windsor Star is correct, the Dodge Grand Caravan will see its lifespan extended until 2019, all thanks to delayed plans for a Chrysler Pacifica-based crossover.
The Star quotes John McCabe, president and CEO of AutoForecast Solutions, who claims Fiat Chrysler Automobiles got cold feet about building a new crossover at its Windsor assembly plant.
Automotive Jobs Return to a Historic Ohio Site; Thank Jeep for It
More than 300 jobs are coming to a historic Toledo manufacturing site, and you can thank the car-buying public’s thirst for Jeeps for it.
Dana Holding Corp. is spending $70 million to build a 300,000 square foot axle plant at the former Willys-Overland site, with Jeep being its only named customer, Automotive News reports.
Honda's Revolutionary Assembly Line Makeover Takes Workers on a Ride
Henry Ford’s way of building cars was so 20th Century, so Honda tried something new.
Workers at the automaker’s new Thailand plant now stay in motion all day, moving with the vehicle as it travels down the assembly line, Automotive News reports.
For Some Weird Reason, Volkswagen is Having a Hard Time Agreeing to Union Pay Hike Demands
It just posted its largest loss ever and is up to its eyebrows in scandal-related expenses, so what’s an automaker to do when the hands come out asking for more?
That’s the situation in Wolfsburg, Germany, where the scandal-rocked Volkswagen and its workers’ labor union find themselves engaged in an uncomfortable dance, according to Automotive News Europe.
The union, IG Metall, says the automaker’s diesel emissions scandal is no excuse for holding back raises to its 120,000 staff members, and Volkswagen says, “What? Sorry, can’t hear you — we’re driving into a tunnel…call back later.”
Fiat-Chrysler Earnings Rise Sharply; Ram Production Coming to Sterling Heights
Fiat Chrysler Automobiles CEO Sergio Marchionne has a good morning today, after FCA announced boosted profit and earnings spurred by healthy sales in the U.S. and Europe.
First quarter net profits were up from just above the break-even point a year ago to 451 million euros ($539.4 million), according to The Detroit News, with pre-tax earnings up 88 percent to 1.3 billion euros ($1.6 billion).
Hyperloop Visits Detroit; Will Auto Talent Make the Jump From Tires to Tubes?
Hyperloop Technology’s co-founder and chief technology officer Brogan BamBrogan, who is a real person and not a Bond villain living in a volcano lair, choose yesterday’s SEA International Congress talent meetup to push the Elon Musk-conceived technology, Automotive News has reported.
BamBrogan’s company is dangling job opportunities in front of the Detroit crowd in a bid to lure new henchmen auto industry talent into its fold.
The former Chrysler and SpaceX engineer’s message to the Detroit audience was clear. To paraphrase Seinfeld — this technology is real, and it’s spectacular.
“We’re calling this our Kitty Hawk moment,” BamBrogan told them.
Office Space: Ford Goes Green With Its 10-Year Plan
Referring to one’s corporate buildings as a campus is en vogue, from Apple’s planned Spaceship HQ to the Googleplex in Mountain View, California. Yesterday, Ford Motor Company announced plans to transform its facilities in Dearborn into a green, modern, and high-tech work environment.
The 10-year plan will co-locate over 20,000 employees in the Dearborn area. Ford currently has a hodgepodge of more than 70 disconnected buildings along Oakwood Boulevard, many of which have been around since the Falcon and Galaxie were being sold in showrooms.
At Volkswagen, Labor Knives Come Out for Herbert Diess
Volkswagen brand chief Herbert Diess has a target on his back, now that the union representing the automaker’s workers has made its distrust of the company public.
Labor union IG Metall slammed the company’s management in a letter published on its website, stating the company was using the diesel emissions scandal as a way of cutting staff, according to Bloomberg.
The union said it wants assurances from Volkswagen brass that layoffs aren’t coming down the pipe, and implied that Diess’ job is in danger if he doesn’t agree to protect employee positions.
BREAKING: FCA Sterling Heights Shift Cut Will See 1,420 Laid Off Indefinitely
The Sterling Heights, Michigan facility that manufactures the Chrysler 200 will have its output halved this summer, with about 1,420 workers laid off indefinitely as a result, reports the Detroit News.
Both production lines of the midsize sedan were idled for nine weeks earlier this year to compensate for an inventory glut and low demand. Now, only one line will stay open, employing about 1,900 workers.
More Ford Production Heads South of the Border, Down Mexico Way
In an announcement that’s been anticipated for months, Ford Motor Company said today it will build a small car plant in Mexico’s San Luis Potosi state.
Ford will spend $1.6 billion on the facility, which starts construction this summer and will employ 2,800 workers by 2020.
The automaker isn’t saying what vehicles it will produce at the plant, but it’s widely expected that the Focus will move to Mexico after production stops at its Wayne, Michigan facility in 2018. Offshoots of the platform, including a rumored hybrid, could also be produced.
U.S. Volkswagen Dealers Are Poised to Revolt
Volkswagen has been on the ropes for months as regulators, governments and the buying public rain blows in the wake of the diesel emissions scandal, but its newest foe might come from the inside — its U.S. dealer network.
American dealers are feeling abandoned by their distracted German parent and could be on the verge of open revolt, Automotive News reports.
It's a Day That Ends With "Y", Meaning More Bad News for Volkswagen
There’s never a dull moment at Volkswagen, and today the automaker finds itself fighting battles on so many fronts they’ll soon be wishing for General Eisenhower’s plotting table.
As the company steels itself for further bad terrible financial news, German prosecutors have widened their probe into the diesel emissions scandal and targeted 17 Volkswagen employees.
The new headcount is a big jump from the earlier six suspects, and authorities have said they’re not done looking. So far, none hail from Volkswagen’s management board, but Klaus Ziehe, a spokesman for the state’s attorney’s office, has said that management involvement has not been ruled out.
TTAC News Round-up: Tesla Range Rumors Fly, Lada Needs a Miracle, and Nissan Dreams Big
Is Tesla planning a Model S update that squeaks past 300 miles of range?
That, a savior is needed at Lada’s parent company, Nissan wants your future car to be everything, Ford goes all in down under, and pedestrians and cars are meeting frequently … after the break!
Plant Shutdown Extended as Chrysler 200 Continues to Be Unpopular
The midsize sedan that can’t catch a break is continuing to darken a plant where workers can’t catch a shift.
The Sterling Heights, Michigan assembly plant that produces the Chrysler 200 will remain closed for another three weeks, Automotive News reports, extending the temporary closure to a total of nine weeks.
Slow sales and a steep inventory glut are to blame for the shutdown, which was needed for supply and demand to regain equilibrium.
TTAC News Round-up: Honda Separates the Kids, Toyota Funks It Up, and the Costs Are Too Damn High at FCA
The CEO of Honda is pulling the car over and giving a stern lecture to the kids in the backseat.
That, a Scion gets a corporate makeover, Google goes in for autonomous feng shui, Fiat Chrysler Automobiles is drowning in modules and a famous British racetrack could get even Britisher … after the break!
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