Ford Motor Co.’s production of the Ranger small pickup has been hampered by a shortage in auto parts. This has a significant impact on Ford since it is relying on this product to bring back its profit to its usual level and to help in reversing losses incurred in Asia. Ford’s Asia chief Joe Hinrichs was at the company’s global headquarters where he told reporters that there was a two-month delay for the start of production at Ford’s new Ranger plant because of flooding in Thailand last year.
This factory had opened last week but its operations are weighed down by the problems faced by Thai suppliers. Hinrichs said that in Thailand, the supply base is “still fragile and overwhelmed.” He said that there’s some shortage on any day. Ford considers the new Ranger as a key model as it aims to be profitable in Asia for 2012.
This ranger isn’t available in the U.S. He added that the problems with the Ranger production contributed to the $178 million in pretax operating losses in the Asia Pacific and Africa region from October through March. He said that the Ranger is a “very important product” as it is known as the “Ford truck” to the worldwide public. He said that as of now, many markets have yet to receive their Rangers.