F-150 plant closing for one week?

Counterpoint: I think it's good there are pro-actively managing inventory this way, instead of piling on so many incentives they would lose money on each truck. I'm a little worried that GM is headed down the incentive path, which is what got them in trouble last time!

I don't feel like the automotive slowdown is a bad sign either. It's really just a market correction, as the last couple years were bolstered by pent up demand from car buyers who stretched their old car's lives during the recession. And businesses too.

As for fuel prices - I think we're nearing the end of artificially cheap fuel, since Saudi Arabia has signaled they don't want to keep dumping oil on the market any longer. But, prices will only normalize, not sky-rocket like previous oil production slow-down, because domestic oil is now cheaper to extract, and production can be resumed as soon as they can get the workers back to work. This will improve employment in some regions.

I doubt a $0.20-0.25 per gallon jump is immediately halting auto sales. I think it is more that the market was so soft for so long and now in the past 2 years or so people who wanted a new vehicle went and got one, hence the record sales at times. So now there will be a lull for a bit as the industry cycles through it's normal phases.

Not a good sign. Having said that ford predicted this slow down in sales earlier this year.

Also I don't foresee a major increase in fuel prices anytime soon since there still is a over supply of crude oil.

coolmom42 wrote:
They almost always shut down a week at a time for re-tooling and maintenance.

Say what? I have been working in the automotive and the only time they shut down for a week is for retooling a new model and the F-150 is not being retooled. This is do to the fact sales are softening. It could be do to people wanting to wait for the 2017 but that does not account for the other models.

Nope Ford is doing this to keep from over producing and is a very smart move. Looks like they have learned that building to just build is not a good idea.

Don

One reason why sales may have slowed of the F150s especially the 2016 models, is the upgraded 3.5 ECOBoost engine and the new 10 speed transmition coming in the 2017 models with an anticipated 10% increase in fuel mileage.

I purchased a 2016 model this past Spring. Now I wish I had waited another year. But still, I really like what I have now.

I read they are shutting down Mustang production for a month because of slow sales too. still better than keep on building cars when they are not needed!

They almost always shut down a week at a time for re-tooling and maintenance.

That is concerning. I'm guessing it's a direct result of the gas prices going up. (we all knew it was going to happen)