A fire, which took place on September 16, at a key Ford Motor Co. (NYSE:F) supplier, could disrupt the company's production operations for months.
Check out the current price of F here.
40% Of The Plant Was Rendered Offline
An overnight fire incident at an Aluminium plant in New York State operated by Atlanta-based company Novelis has rendered about 40% of the plant offline until early next year, The Wall Street Journal reported on Monday.
Novelis supplies about 40% of the total aluminium sheets used by the auto industry in the U.S., with Ford being the company's biggest customer, while the F-150 pickup truck remains one of the largest users of aluminium, the report suggests. Following the news, at the time of writing this article, F stock was down 1.57% in Pre-market trading, according to Benzinga Pro data.
Ford, Toyota Motor Corp (NYSE:TM) and Jeep parent company Stellantis NV (NYSE:STLA), all customers of Novelis, said they were working on alternate supply chains to minimize disruption to production activities. Other customers include Volkswagen AG (OTC:VWAGY) and Hyundai Motor Co. (OTC:HYMLF).
Novelis, a part of India's Hindalco Industries, said it would use some of its overseas plants to serve U.S. customers. "We are urgently taking steps to minimize the impact of the recent fire at our Oswego facility on our customers," the company said in a statement cited in the report.
Ford's Technician Shortages, Recall Woes
The news comes as Ford CEO Jim Farley recently lamented a lack of skilled technicians in the U.S. to work at the company's dealerships, sharing that the average wait time for a repair was about 2 weeks in the U.S. He also shared that the company had over 6,000 empty bays across the country due to a lack of technicians.
Meanwhile, the company has also been grappling with recall woes as the Michigan-based automaker recalled several vehicles in its lineup throughout 2025 over a variety of issues, with the latest recall comprising 115,000 F-250, 350 and 450 pickup trucks due to defects with the steering column.
Ford’s EV Incentive Extension
The company has also reportedly extended benefits on electric vehicles in the U.S. by paying a small down payment to dealers via its financing arm on or before September 30, which qualified the vehicles for the Federal EV credit. Ford has joined the list of several automakers currently offering benefits on EVs.
Ford scores well on the Momentum and Value metrics, while offering satisfactory Growth and Quality. Ford also offers a favorable price trend in the Short, Medium and Long term. For more such insights, sign up for Benzinga Edge Stock Rankings today!
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