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GM, Ford, and Fiat Chrysler are reportedly shutting down US factories as the coronavirus outbreak worsens

Mar 18, 2020, 23:24 IST
FordFord's Kentucky Truck plant.
  • GM, Ford, and FCA are reportedly shutting down all US factories as the COVID-19 coronavirus outbreak intensifies.
  • Only Ford confirmed the news in a statement to the media.
  • The Detroit Big Three and the UAW had earlier agreed to a production drawdown, but further coronavirus cases at plants has led to more extensive shutdowns.
  • Visit Business Insider's homepage for more stories.

Just hours after announcing production slowdowns in coordination with the United Auto Workers, General Motors, Ford, and Fiat Chrysler automobiles reportedly intend to shut down all their factories in the US, Canada, and Mexico.

"Following Thursday evening shifts, Ford is temporarily suspending production at its manufacturing sites in North America through March 30 to thoroughly clean its facilities to protect its workforce and boost containment efforts for the COVID-19 coronavirus," Ford said in a statement.

Ford was the only Detroit Big Three automaker to confirm the shutdown.

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Kumar Galhotra, Ford's president of North America, added, "We're continuing to work closely with union leaders, especially the United Auto Workers, to find ways to help keep our workforce healthy and safe - even as we look at solutions for continuing to provide the vehicles customers really want and need."

The UAW has been pressing the automakers to shut down plants; on Sunday, UAW Rory Gamble and the CEOs of GM, Ford, and FCA formed a task force to manage the coronavirus outbreak.

Carlos Osorio / Associated PressFord CEO Jim Hackett.

"Today's action is the prudent thing to do," Gamble said. "By taking a shutdown and working through next steps, we protect UAW members, their families and the community. We have time to review best practices when the plants reopen, and we prevent the possible spread of this pandemic. We commend Ford for working with us and taking this bold step."

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In its statement, Ford said it had "temporarily closed Michigan Assembly Plant final assembly building [Wednesday] morning after an employee tested positive for the COVID-19 coronavirus and is thoroughly cleaning and disinfecting the building, as promised as part of the company's coronavirus emergency response protocol."

The plant will idle production through March 30.

Earlier on Wednesday, Honda announced that it was shutting down its US, Canadian, and Mexican facilities.

In a statement to Business Insider, Mercedes-Benz US International said that its Alabama factory was continuing to operate.

Get the latest Ford stock price here.

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