Ford\’s Earnings Statement Expected to be Badly Impacted by Destruction of BordWarner Plant

In case you are searching for a replacement 4WD pickup, you might soon have difficulty finding one after the BorgWarner factory producing transfer cases for Ford, Ram, and Toyota pickup trucks received heavy devastation because of a tornado on Apr 12, 2020. While your dealership may not talk about a new vehicle’s transfer case with you, this component is very vital that Ford Motor Company notified the Securities and Exchange Commission on April 17, 2020, of the damaged manufacturing plant.

In forms sent in with the US Securities and Exchange Commission, Ford affirms that it is too soon to advise exactly how the ruined facility will affect the company’s plans to restart assembly or perhaps the company’s financial well being. Even though some representatives with Ford says that the plant being off-line could have no affect on the company’s forthcoming Ford F-150 release, other officers with the company say that it is too early to inform the effect that manufacturing of the transfer case can have in the truck’s long term. Officers with BorgWarner claim that they do not know when assembly may restart again or when BorgWarner will rebuild the manufacturing facility.

Several groups have awaited the revealing of the 2021 Ford F150 because the truck is supposed have a whole new design. The company has hinted how the new vehicle will be noticeably larger than the last version. Rumours persist the newer F150 could have a large information display screen in the dashboard that can give many the latest features. In spite of earlier rumours, this new truck will likely use a 5-liter V8 motor that you could see in the current Ford F150. Insiders predicted that individuals would still need to wait until 2022 for a pickup truck with the same amount of HP as being the 2021 Dodge Raptor. It is actually not known when the devastation from the tornado may force back a new powerful motor getting in the Ford F150.

One of many problems with highly specialized parts like transfer cases is that it requires a lot of money to build and tool equipment to build them. Therefore, many companies often distribute the expense in between themselves, so having this manufacturing facility ruined will almost certainly create a ripple type impact throughout the automobile market.

Leave a Reply