Here’s an update on the impact to Ford, Chrysler, GM, and Toyota.
How has this impacted Ford?
- More vehicles gate released from plant but not shipped now than we did this time last year causing delays
- All plants are impacted but the most impacted Ford plants are Dearborn (F150), Oakville (Flex, Edge/MKX, MKT), Flat Rock (Fusion, Mustang) & Michigan Assembly Plant (Focus, C-Max)
- Overall, Ford inventory will flow slowly until weather improves and railcar length improves
- Logistics working their typical playbook (off-site storage being secured for gate released vehicles, car-haul, etc.). Improvement will come in April but will be slow
How has this impacted Chrysler?
- Impacting units coming out of Mexico. This would be the Saltillo plant (Ram trucks and chassis) and Toluca plant (Journey and Fiat 500).
How has this impacted GM?
- GM Logistics Team monitors rail car supply on a daily basis.
- Our team has put alternative solutions in place to keep product moving – such as shuttling units to consolidation centers or other sites for furtherance to final.
How has this impacted Toyota?
- Toyota Logistics Services (TLS) estimates that once the weather improves, it will take approximately 3-4 weeks before the rail network is fully recovered.
- Bi-level rail car shortages are expected to continue until the end of March.
- Rail companies are diverting rail cars to the mid-west (to be shared by all manufacturers) but the number of rail cars is insufficient to address the on ground inventory.
- TMMI (Highlander/ Sienna/ Sequoia) is the most heavily impacted:
- TLS continues to identify opportunities to increase truck deviation/delivery to assist with reducing vehicle delivery delays.
- Tri-level rail car shortages have had less impact on supply chain due to lower demand. Tri-level supply has improved, so there is no current plan for deviations. The situation is being actively monitored at Georgetown and Lafayette and contingency plans are being developed, should they be needed.
Most motor company logistic teams are projecting the rail car shortage should see improvement by late March or April.
