Ford – Across a broad spectrum of industries, the United States is home to several large firms that export their goods and services around the world.
Gas-powered automobiles formerly plied the concrete roads until Elon Musk and Tesla introduced a new age of electric vehicles.
With a history spanning more than a century, Ford Motor Company is one of the top American automakers.
The business has prospered despite the economic downturn, frequently returning to the market with a new product.
Ford made the decision to adjust in light of the advent of electric vehicles and unveiled plans for many 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 stop manufacturing for now.
Ford Motor Company stated on Wednesday that it anticipates manufacturing of the F-150 Lightning pickup to stall until the end of the next week.
The business will solve a potential battery problem at around that time after a car’s battery caught fire.
One day after the company declared at the beginning of last week that the much-anticipated car would be suspended, the fire was officially verified.
Ford opined on Wednesday that the fire’s origin had been discovered by engineers.
The inquiry should be finished by the end of the next week.
After that, the business will make modifications to the truck’s battery manufacturing process, which might take weeks.
The battery fire was initially reported by the Detroit Free Press.
According to the report, it happened during a holding lot quality check before delivery.
A neighboring car was then affected by the fire.
Ford acknowledged it, but a spokeswoman for the firm declined to elaborate.
The firm had to halt manufacturing and cease shipping the completed vehicles as a result of the fire.
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The batteries were provided by SK On, a subsidiary of SK Innovation in South Korea.
In order to build battery production facilities on American territory, Ford and SK On launched a joint venture last year.
The business stated that they were not aware of any battery problems in any of the vehicles that had previously been delivered to consumers and dealers.
In addition, Ford dealers can continue to sell the supply of cars they have.
The Ford F-150 Lightning truck is widely followed by investors.
The critical part of the observation is that the pickup truck (an electric version) was the first of its kind to hit the market.
It is also hailed as a significant Ford launch.
The battery problem, however, further exacerbates Ford’s continuing “execution issues,” which CEO Jim Farley first mentioned in early February and which he claims hurt the company’s fourth-quarter profitability.
Farley underlined on Wednesday that the business must enhance its operational performance to match margins with rivals and generate more revenue.
The CEO claims that Ford’s lower profitability compared to its heritage competitors is caused by a cost disadvantage of $7 billion to $8 billion.
James Farley issued an urgent appeal to action at a Wolfe Research Conference, saying:
“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.”
Automobile problems and recalls are normally handled by automakers.
Nevertheless, given how much money automakers commit, spending billions to create cars, battery issues are special.
The Chevy Bolt electric vehicle from General Motors has a major and recent problem of comparable gravity.
Due to fire problems, GM was compelled to recall the Bolt EV in 2021.
The business recalled every electric vehicle it has sold since its 2016 production as a result of manufacturing flaws that caused 13 bolts to ignite spontaneously.