FORD’S troubled Saarlouis production facility in Germany is again in the spotlight, this time as a supplier strike forces a $US1.09 million ($A1.6m) per day halt to vehicle output.
The facility which usually produces up to 600 examples of the Focus small car per day has been impacted by strike action from neighbouring suppliers, forcing the manufacturer to stop the line.
German media outlet Automobilwoche says the strike has so far impacted deliveries of engine and transmission parts, axles, body components, wiring looms, and exhaust systems.
The news comes ahead of Ford’s 2025 closure of the Saarlouis facility, a move that is set to strip 3500 jobs from the region as the manufacturer transitions to produce only electric vehicles in Europe.
The Saarlouis site lost out to Ford’s Valencia, Spain, facility which will manufacture EVs for Europe.
Last month, Ford of Europe agreed to a deal with its Saarlouis employees – including the employment of 1000 staff until the end of 2032 – severance payments and bonuses, the formation of a transfer company and ongoing qualification programs.
Workers at suppliers to Ford’s Saarlouis plant are now seeking the same “attractive and well-funded deal”.
Ford of Europe is currently looking for an investor to take over its Saarlouis plant.
Last year, Ford of Europe said it was in negotiations with investors from battery and automobile producers, and that a decision was expected to be made by the first quarter of 2024.
Most recently, Chinese manufacturer BYD showed interest in the site before backing out at the eleventh hour. It will now build its own facility in Europe. BYD was one of a reported 15 potential investors keen on taking over the former Renault plant, which has been in Ford’s hands since 1970.
Electric vehicle manufacturer Build Your Dreams (BYD) is seeking to expand its European footprint as the continent moves to ban the sale of internal combustion engines by next decade.