High US demand compels Detroit 3 to limit summer shutdown

Article by Anita Panait, on May 27, 2013

Every summer, the Detroit 3 – Ford Motor Co, General Motors and Chrysler Group – shut down their manufacturing sites for two weeks across the United States. For this year, however, the Detroit 3 may forego or shorten the traditional shutdown. They could no longer afford to halt production at their assembly plants, as growing demand for their vehicle products have started to tighten inventories.

The Detroit 3 have to produce more pickups, sport utility vehicles and crossovers in order to cater to surging demand for these vehicles, forcing them to either skip or shorten the traditional summer shutdown that historically has coincided with the start of the new model year. In effect, Ford, GM and Chrysler have to suit their production to the command of the vehicle market. For the second straight year, Ford will only be shutting down 20 of its 31 US plants for just one week, instead of the usual two weeks.

According to Ford, the reduced downtime will increase production in North America by 40,000 units. Jim Tetreault, Ford's vice president of North America manufacturing, told Automotive News that they plan to continue match their production capacity to sales demand, noting that at the moment, the carmaker is “tight on just about everything." He remarked that Ford will implement a similar strategy in 2014 if the demand is there.

Chrysler Group, on the other hand, is removing time off at three of 10 assembly sites, all six engine plants and five of six transmission plants. Chrysler is also shutting down four assembly plants for one week. GM, on the other hand, is expected to shut down production in early July as its inventories as of May 1, 2013 were the largest among the Detroit 3, sources told Automotive News. GM, however, will keep open a site producing large crossovers and will just shut down a heavy-duty pickup plant for one week.

Topics: ford, gm, chrysler, production

If you liked the article, share on:


Login or Create new account to add a comment!


It wasn’t too long ago when Maserati took the wraps off what appears to be the most gorgeous concept coupe ever made. The Alfieri coupe premiered at the 2014 Geneva...
by - October 23, 2016
Many have been excited with the impending arrival of the next-generation Jeep Wrangler and the new 2019 Jeep Grand Wagoneer, which is slated to be the brand’s new range-topping model....
by - October 21, 2016
Chevrolet has taken the wraps off its new Chevrolet Colorado ZH2 at the fall meeting of the Association of the United States Army (AUSA). Tagged as the most extreme fuel-cell-powered...
by - October 21, 2016
Honda has unveiled the fifth generation of its hot-selling SUV – the 2017 Honda CR-V. The latest iteration of the CR-V should help it maintain its benchmark status in the...
by - October 21, 2016
Many are already expecting BMW to launch an ultra luxurious SUV that will serve at its new flagship by late 2018. Larger than the X5 and X6, the new X7...
by - October 21, 2016