Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

General Motors, Ford and Fiat Chrysler to temporarily close all US factories due to the coronavirus

General Motors, Ford and Fiat Chrysler to temporarily close all US factories due to the coronavirus

The Big Three automakers plan to close all U.S. auto factories as the coronavirus sweeps across the country. Ford said it would temporarily close its factories in North America after Thursday evening shifts.

Detroit’s Big Three automakers plan to temporarily close all U.S. factories as the coronavirus sweeps across the country.

The companies bowed to pressure from union leaders and employees who called for protection from the pandemic that’s spread to more than 212,000 people in nearly every country across the globe.

Ford said it plans to close its factories in the U.S., Canada and Mexico after Thursday evening and through March 30. The company said it would work closely with the United Auto Workers union in the coming weeks to restart plants and explore additional protocols and procedures to help prevent the spread of the virus.

“We’re continuing to work closely with union leaders, especially the United Auto Workers, to find ways to help keep our workforce healthy and safe -even as we look at solutions for continuing to provide the vehicles customers really want and need,” said Kumar Galhotra, Ford’s president of North America.

General Motors said it’s closing all North American factories at least until March 30 and will evaluate the situation on a weekly basis after that.

Fiat Chrysler said it will cease operations at its plants across North America “progressively from today through the end of March.” The company said it will reevaluate the situation at the end of the hiatus and will work closely with the UAW in the meantime to facilitate safe working conditions, including shift timings and enhanced cleaning protocols.

All together, the closures would affect 25 final-assembly factories and 150,000 union workers, according to the UAW and each automaker. General Motors has 11 factories, followed by Ford’s eight factories and Fiat Chrysler’s six.

“UAW members, their families and our communities will benefit from today’s announcement with the certainty that we are doing all that we can to protect our health and safety during this pandemic,” said UAW President Rory Gamble. “This will give us time to review best practices and to prevent the spread of this disease.”

Earlier Wednesday, Ford temporarily closed its operations at a Michigan-based assembly plant after an employee tested positive for COVID-19, spokesman Daniel Barbossa said in an email. It wasn’t immediately made clear when or if the factory would reopen.

The halt in production could create an immediate cash crunch for the automakers as demand for cars declines amid the COVID-19 outbreak.

RBC Capital Markets adjusted its forecast for auto stocks and said that fallout from the coronavirus could send global auto production down 16% in 2020, fueled partially by an expected 20% decline in U.S. sales.

“The greater challenge is that once the country gets past the worst of the pandemic, automakers will need to be prepared to get back online quickly to capitalize on the wave of deferred consumer demand,” said Jessica Caldwell, Edmunds’ executive director of industry analysis.

On Tuesday, the UAW said it had reached a deal with Ford, Fiat Chrysler and General Motors that would partially shut down facilities in the U.S.

The actions were a compromise between the companies and union after the UAW’s Gamble on Sunday urged the automakers to cease production for two weeks due to the spread of the virus.

Honda North America announced on Wednesday that it will be closing four U.S.-based plants starting March 23 due to an anticipated decline in market demand. In a statement, Honda said it would halt production for six days with plans to return by the end of the month.

The coronavirus has now infected more than 212,000 people across the globe and has killed at least 8,000 people, according to Johns Hopkins University data. In the U.S., it has infected more than 6,400 and has killed at least 114.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Miliband Sets Climate and International Law at Centre of UK Diplomacy
Czech Central Bank Governor Rejects Early Euro Entry and Rate-Cut Pressure
Trump Readies New Tariffs as Temporary Global Levy Nears Expiry
Vivienne Westwood Casts Cicciolina, 74, in Its New Autumn Campaign
Dejavu: Germany’s Military Expansion Reshapes Europe’s Strategic Balance With France
Morgan Stanley Builds a Wall Street Lead in AI Infrastructure Finance
High Prices Push Coffee Drinkers Toward Whole Beans and Home Brewing
Trump Draws Boos and Podium Scrutiny at Spain’s World Cup Triumph
Brilliant move: Péter Magyar Moves to Nominate Chess Grandmaster Judit Polgár as Hungary’s President
Spain Defeats Argentina in Extra Time to Win Second World Cup
Current AI Seeks to Build an Open Global AI Infrastructure Outside Big Tech Control
Germany’s Economic Malaise Reopens the Sunday Shopping Debate
Proposed U.S.-Saudi Nuclear Pact Could Permit Limited Uranium Enrichment Under International Safeguards
Netherlands Declares Water Shortage Emergency After Drought Pushes Rivers to Historic Lows
Why Kentucky Fried Chicken Became KFC—and Why the False Explanations Persist
Ukrainian Drones Strike Wildberries Warehouses Deep Inside Russia
Reported CIA Mission Helped Clear the UAE’s Path to Advanced US AI Chips
Artificial Intelligence Capital Fuels Markets While Governments and Regulators Face Mounting Strategic Tests
China’s Moonshot’s Kimi K3 Narrows the Gap With Anthropic Through Scale, Openness and Lower Cost
The Ledger Will Not Trust on Faith
Trump Administration Pressures Banks to Restrict Financial Access for Undocumented Immigrants
Passenger Bound for Germany Refused to Sit Beside a Woman on a Plane — Then Slapped a Flight Attendant
Ukraine’s Leadership Rift Spills Into the Streets as Protesters Target Army Chief
Ukrainian Drone Barrage Kills Eight and Strikes Russian Logistics Network
The Ten World Cup Finals That Defined Football History
Smartphones Are Getting More Expensive, Sales Are Collapsing, and Even Apple Admits: "Prices Will Rise"
The Monaco Bombing Has Become a Test of Ukraine’s Intelligence Accountability
Leadership Change and Strategic Rivalry Redraw the Political Map
The AI Race Enters Its Infrastructure Era
Britain Nationalises British Steel to Protect Scunthorpe Production and Strategic Supply
French National Assembly Overrides Senate to Pass Historic Assisted-Dying Legislation
Spanish Prime Minister's Wife Ordered to Stand Trial as Corruption Probes Encircle Governing Party
Zelensky Faces Kyiv Protests Over Ousting of Dynamic Ukrainian Defense Minister
Thomas Tuchel Faces Fierce Backlash After Tactical Retreat Costs England World Cup Final Berth
A Quiet Bastille Day: France Grapples with World Cup Heartbreak and Leftover Fireworks
Spain in Ecstasy: "We Feel Unbeatable, We Taught the Whole World a Lesson"
Spain and UK Dismantle Gibraltar Border Following Landmark Schengen Integration Treaty
Hungary's "Puppet" President to Be Ousted, Orbán Fumes: "Democracy Is Dead"
Forget Tinder: The Surprising Platform Where People Find Love
Harvard Astrophysicist to Lead U.S. Scientific Advisory on Unidentified Aerial Phenomena
Emergency Sirens Activated Across Bahrain as Interior Ministry Issues Shelter Directives
World Cup Visitors Turn American Big-Box Stores Into Souvenir Stops
Netflix Weighs Always-On Channels, Bundles and Short-Form Video
Passenger Is Pulled Partly Outside Ryanair Jet After Window Fails Mid-Flight
The AI Invoice Shock: Layoffs Didn't Save Managers Money — They Cost Them More
Concern: Sexually Transmitted Bacterium Among Men Develops Antibiotic Resistance
Passenger Partially Pulled Out of Ryanair Jet After Cabin Window Fails Mid-Flight
Severe Heatwave Drives Dangerous Ground-Level Ozone Pollution Across Two Thirds of European Union
The Physical and Electronic Barriers Disrupting Domestic Wireless Networks
France and Morocco Open World Cup Quarter-Finals as Collina Defends Refereeing
×