Ford – There are many major companies in the US that export their goods and services to a variety of international markets.
Gas-powered cars were the primary form of mobility on the concrete roads prior to the advent of Elon Musk and Tesla.
Ford Motor Company has been established for more than a century and is one of the top American automakers.
The business has prospered in spite of the downturn in the economy and routinely releases new products on the market.
In reaction to the popularity of electric vehicles, Ford changed its business strategy and announced plans for a number of new models.
The Ford F-150 Lightning pickup truck is one of the most eagerly awaited vehicles.
Unfortunately, a recent problem has forced the business to temporarily stop manufacturing.
According to a statement released by Ford Motor Company on Wednesday, production of the F-150 Lightning pickup truck is anticipated to cease until the end of the next week.
The business will then solve a potential battery problem brought on by a car battery fire.
One day after the company revealed at the beginning of last week that the much anticipated car would be delayed, the fire was finally verified.
Ford said on Wednesday that firefighters’ origin had been discovered.
The study needs to be finished by the conclusion of the subsequent week.
The business will next modify the truck’s battery manufacturing procedure, which might require a few weeks.
The battery fire was originally covered by the Detroit Free Press.
According to reports, the event happened during a holding lot quality check before delivery.
The neighboring car was then affected by the fire.
Ford acknowledged it, but a spokesperson for the business declined to give more information.
The manufacturer had to halt operations and stop shipping finished cars as a result of the fire.
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SK On, a South Korean branch of SK Innovation, provided the batteries.
Last year, Ford and SK On formed a joint venture to build battery production facilities in the US.
The manufacturer asserted that none of the vehicles that had been delivered to consumers and dealers in the past had battery problems.
Moreover, Ford dealers are free to continue selling the stock of cars they have.
Investors are closely monitoring the Ford F-150 Lightning pickup vehicle.
An important part of the observation is that the pickup truck (an electric version) was the first of its kind to hit the market.
It is regarded for being a historic Ford launch as well.
Yet Ford’s chronic “execution issues” are made worse by the battery problem.
These worries were first raised by CEO Jim Farley in early February, and he thinks they hurt the company’s fourth-quarter profitability.
Farley stressed the need for the business to increase operational efficiency on Wednesday in order to match margins with rivals and generate more revenue.
Ford’s lower profitability when compared to its well-established competitors, in the CEO’s estimation, is the result of a $7 billion to $8 billion cost disadvantage.
Jim Farley made a compelling case for action at a Wolfe Research Conference by stating:
“We can cut the cost, we can cut people, we can do that really quickly and we’ll do whatever we need to.”
“The reality is that if you don’t change the efficiency of engineering, supply chain and manufacturing, the basic work statement, the way people work, the efficiency of that it’ll grow back.”
“This is really about redesigning what we do in the 120-year-old part of the company.”
Typically, automakers handle recalls and car problems.
Yet, battery issues are unusual given the massive sums of money automakers spend creating vehicles.
The electric Chevy Bolt from General Motors has a big and recent problem of comparable significance.
Due to fire problems, GM was compelled to recall the Bolt EV in 2021.
The business recalled each electric car it delivered in 2016 due to manufacturing errors that resulted in 13 bolts burning spontaneously.
Image source: Detroit Free Press