Ford, GM to shut NorthAm auto plants: Update

Adds plans by Ford.

US-based automakers Ford and General Motors (GM) announced today that they will shut down all of their North American operations through 30 March in response to the growing coronavirus pandemic.

The other major US-based automaker, Fiat-Chrysler Automobile (FCA), is expected to follow suit later today. FCA said yesterday that it was making shift and production changes to better protect workers.

The announcements came a day after the International Union, United Automobile, Aerospace and Agricultural Implement Workers of America (UAW) union agitated for the automakers to implement two week closures in order to protect their members.

The three automakers sold 8.14mn vehicles in North America during 2019.

GM said it was beginning to close its plants, and would evaluate reopening them on a week-to-week basis after 30 March.

Ford will close its plants after tomorrow's evening shift. Ford had closed its Michigan Assembly Plant this morning after a worker there tested positive for the coronavirus. The plant will remain closed through 30 March.

The announcement by Ford came a day after it announced it would shut down its European operations, following closures by other European automakers, and stoking concerns across the US auto supply chain of potential production cutbacks domestically that will impact demand for steel, aluminum and other products.

Earlier today, Honda became the first automaker in the US to issue an order for a full shutdown of its plants as the coronavirus pandemic continues to spread across the US.

Honda will shut its North American plants for six days beginning 23 March.

The company operates 12 North American plants. The US plants are located in Alabama, Georgia, Indiana and Ohio and have an annual production capacity of 1mn vehicles/yr and 3mn engines/yr, according to the company.

Toyota North America told Argus it was conducting normal operations.

FCA said its Sterling Heights plant in Michigan, which builds the Ram 1500 pickup truck, was shut down today in an effort to protect workers.