REPORT: GM planning up to nine-week summer shutdowns originally appeared on Autoblog on Thu, 23 Apr 2009 08:56:00 EST. Please see our terms for use of feeds.

Ford will shut down 10 N.A. plants in early January originally appeared on Autoblog on Thu, 18 Dec 2008 15:29:00 EST. Please see our terms for use of feeds.

Slumping sales have pushed Mitsubishi to schedule a production stoppage at their Normal, Illinois plant early next year for a period lasting more than 40 days. The facility, employing 1,568 workers, manufacturers both the Galant and Eclipse. When the assembly line lights go dark between February 16 and April 3, it will signify the longest halt of production since the facility began operation in 1988. The news obviously isn't good, but it thankfully doesn't carry any immediate word about layoffs. According to Mitsubishi, all employees will remain on payroll during the shutdown and be shifted to other non-production jobs, including maintenance and training.

[Source: Automotive News - Sub. Req.]

Mitsubishi set to idle Illinois plant for seven weeks originally appeared on Autoblog on Wed, 10 Dec 2008 08:01:00 EST. Please see our terms for use of feeds.

It's hardly unexpected given recent gloomy sales numbers, but General Motors announced today that they will be cutting shifts at several North American plants. Unfortunately, nearly 2,000 workers will lose their jobs in the process as GM eliminates its third shift to slow production and ease the backlog of vehicles sitting on dealer lots. The affected plants are Orion, Michigan; Oshawa, Ontario; and Lordstown, Ohio (these plants manufacture the Chevrolet Malibu, Pontiac G6, Chevrolet Impala, Chevrolet Cobalt, and Pontiac G5). The news comes on top of the previously announced idling of the Fairfax assembly plant in Kansas City mid-January. That plant makes the Saturn Aura and also the Chevrolet Malibu.

[Source: Reuters]

GM cuts shifts, output at three plants originally appeared on Autoblog on Fri, 05 Dec 2008 17:31:00 EST. Please see our terms for use of feeds.

Click on the above image to see our Ford Expedition gallery

May was apparently a tough month for Ford's big SUVs. With consumer demand understandably cold for the gargantuan utes and their hard-to-swallow 12 mpg city ratings, Lincoln Navigator sales slid 37 percent while Ford Expedition sales were down 43 percent. As a result, Ford Motor Company has announced that its Wayne, Michigan, plant that assembles these vehicles will close down for nine weeks starting on Monday. While the plant sits idle, Ford will increase production of its passenger cars to better meet market demand for smaller and much more fuel efficient vehicles. Like we didn't see this coming...

Gallery: 2007 Ford Expedition EL

Gallery: 2008 Lincoln Navigator

No surprise here: Expedition, Navigator production stopped for nine weeks originally appeared on Autoblog on Tue, 17 Jun 2008 17:31:00 EST. Please see our terms for use of feeds.

The strike last week by the International Brotherhood of Teamsters (IBT) against Performance Transportation Services (PTS) was the straw that broke the camel's back. The second largest car hauler in the United States was unable to survive the wage-related dispute, especially after filing for bankruptcy protection in 2006 and 2007. On Friday, PTS announced that it's stopping all operations and going out of business.

The effect on the industry overall will be minor. Automakers began rescheduled their deliveries last week when the strike was announced. As domestic vehicle production has slowed, excess transport capacity has been able to take up the slack and no major interruptions have been seen. It seems the striking workers have also been accommodated as the Teamsters are reporting that the "vast majority" of their 1,250 drivers have found work at other unionized locations. Still, any organized union thinking of striking in this economic climate should consider the possibility that such a move may result in pink slips for everyone.

[Source: Automotive News, subs. req'd]

Strike against No. 2 car hauler puts it out of business originally appeared on Autoblog on Mon, 16 Jun 2008 17:32:00 EST. Please see our terms for use of feeds.

Chrysler plans summer shutdown, mandatory vacation for workers originally appeared on Autoblog on Thu, 13 Mar 2008 13:06:00 EST. Please see our terms for use of feeds.

The 10-day strike between American Axle & Manufacturing Holdings Inc. and the United Auto Workers union is now threatening to idle or partially shut down 13 more GM plants as early as Monday. Although talks are underway again, even a resolution over the weekend may mean closures as it takes time to deliver inventory and ramp up production. As of now, seven assembly plants at GM have already been idled after the AA workers walked off their jobs on February 26th.

American Axle supplies components to many different automakers, meaning the strike is being felt industry-wide. The strike is hitting GM particularly hard, however, as it does represent some 80% of the supplier's business. GM idled four truck plants within days. By yesterday, five GM plants, and seven suppliers were down. Chrysler may also have to idle plants in Delaware and Mexico by mid-next week if both sides don't come to an agreement.

There is light at the end of the tunnel. Reportedly, both sides already agree on the principles of a concession, leaving just the issue of hourly wages on the table. And, as most negotiation experts point out, money differences are often the easiest to solve.

[Source: Detroit News, Photo by Bill Pugliano/Getty]

GM: American Axle strike to slow down or stop 20 plants originally appeared on Autoblog on Fri, 07 Mar 2008 13:32:00 EST. Please see our terms for use of feeds.

That Porsche owns a significant stake in the Volkswagen group (and all its subsidiaries) is no secret. In fact, Porsche is even in the process of increasing its stake. Oddly, though, little seemed to be done to minimize the competition presented to Porsche products by those of VW divisions: Lamborghini Gallardo vs. Porsche 911 Turbo, Audi TT vs. Porsche Boxster and Cayman, Audi Q7 vs. Porsche Cayenne, etc. But now Porsche is reportedly taking aim at an easy target: Bugatti.

Truth be told, it's really Bugatti's lack of profitability that Porsche is targeting. Porsche remains one of the only sportscar manufacturers that generates profit (copious amounts of it, actually), while Bugatti loses VW money continuously. The development costs of the super-expensive Veyron were to be offset by the application of technology towards future Bugatti vehicles (like a new saloon or four-door coupe), but if Porsche gets its way, a new Bugatti will never see the light of day, with Stuttgart evidently preferring to cut their loses (and a competing supercar maker).

Volkswagen would be unlikely to find a buyer for Bugatti even if Porsche applied enough pressure for them to sell. Stuttgart's proposal, then, would be to turn the exclusive marque even more exclusive, as a coachbuilder, creating unique one-off vehicles (like Jim Glickenhaus' Ferrari P4/5 by Pininfarina) for over $4 million a piece. And here we thought the existing Veyron was expensive....

[Source: Car magazine via Motor Authority]

Porsche proposal busts Bugatti originally appeared on Autoblog on Fri, 24 Nov 2006 15:04:00 EST. Please see our terms for use of feeds.

Nissan to shut down U.S. plants for six days originally appeared on Autoblog on Mon, 24 Apr 2006 09:55:00 EST. Please see our terms for use of feeds.

Idling seven factories will push Ford's restructuring costs up to a total of $3.4 billion (before taxes) for the year. The figure includes over $2.1 billion associated with early retirement packages, layoffs, and pension issues, as well as $280 million to close the plants.

The factories on the block so far are the two the automaker announced last week -- St. Paul, Minn. and Norfolk, Va. -- as well as the Wixom, Mich., and Atlanta, Ga. Production at St. Thomas will be cut to one shift.

[Source: The Detroit News]

Ford restructuring tab expected to hit $3.4 billion originally appeared on Autoblog on Thu, 20 Apr 2006 13:34:00 EST. Please see our terms for use of feeds.