Ford stock has been on a bit of a roller coaster ride in recent years, which isn’t terribly surprising given the many uncertainties present in the automotive market, in general. Ford wound up pivoting in a big way after demand for EVs failed to meet expectations, and is now focusing on a diverse powertrain lineup while developing cheaper all-electric options, coupled with a focus on passion products. As a result, several Wall Street firms have upgraded their outlook on Ford stock as of late, but now, those shares are plunging following news of a big supplier issue.
As Ford Authority reported earlier today, an aluminum plant owned and operated by Novelis in Oswego, New York was recently ravaged by a massive fire, which will reportedly keep it offline until early 2026 due to extensive damage suffered in the blaze. Trouble is, Novelis provides around 40 percent of the U.S. auto industry’s total aluminum sheeting, and much of it comes from that particular plant – and Ford is its biggest customer, too.
As a result, Ford F-Series production is expected be impacted in a major way, though The Blue Oval is working to mitigate the problem and utilize its other aluminum suppliers to compensate for this loss. Regardless, the situation is so dire that Ford may reportedly reveal potential implications from the fallout to investors in its quarterly financial reporting set to be released later this month. Novelis churns out around 350,000 metric tons of sheet aluminum annually. In addition to Ford, Toyota, Hyundai, Volkswagen, and Stellantis all source aluminum from Novelis, too.
Thus, it’s not terribly surprising to see Ford stock take a bit tumble following the release of this news – as of this writing, those shares are down 6.5 percent today, trading for $11.88 after opening at $12.50 – its highest mark in quite some time, though it will be interesting to see just how Ford manages to overcome this potentially devastating hit to its supply chain.
Tying the Escape in that regard.
A new stamping building is currently being erected.
He grew up riding to practice in his dad's Ranger.
It's still more popular than the EcoBoost.
The move stands to hurt Stellantis the most.
Nearly a year after it debuted for the U.S.
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So much ‘drama’, hilarious!
The aluminum supply base will fight for any chance to sell to Ford, it’s not like a stamping or assembly plant burned down, clueless. There are always contingencies in place for material shortages unless it’s a global issue (like chips)