Ford to halt production at Michigan plant because of chip shortage

Ford Motor Company on Thursday said it would halt production at its Flat Rock assembly plant in Michigan next week, where it builds the Mustang, because of the global semiconductor shortage.

The motor industry is grappling with a global chip shortage triggered by the Covid-19 pandemic that has forced companies to cut production, though high car prices have partially offset its affect. Ford had warned last month that the chip shortage would lead to a decline in vehicle volumes in the current quarter.

Last month, Ford halted production at its Kansas City assembly plant that makes F-150 pickup vehicles for a week due to the chip shortage.

Production at other North American plants of the Dearborn, Michigan-based car maker will continue as normal, Ford said.