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Monsoon rains disrupt production for Ford, BMW in India

Even modern production techniques can be stymied by Mother Nature. This was demonstrated most recently in India, as torrential, monsoon rains caused a deluge that forced multiple automakers to suspend production. Ford, Renault, and BMW all halted work at their Indian facilities around the southern city of Chennai, also known as Madras. The annual rains disrupted public transport around the city, preventing employees from making the trek into city's factories. According to Automotive News, Chennai saw 48 inches of precipitation last month alone, which is more than Seattle, WA saw in all of 2014. While Ford and BMW closed things down for all of December 1, Renault just cancelled a pair of shifts at its Chennai factory. This is the second time in the past month that automakers in southeast India have been forced to stop production due to severe flooding, and things aren't likely to improve. According to The Weather Channel, forecasts call for thunderstorms over five of the next seven days, while the chance of rain won't fall below 80 percent until December 8. Ford, Renault, and BMW are far from the only automakers that could stand to be impacted by the rains. The city has been nicknamed "The Detroit of India" for its extreme automotive presence. Daimler, Hindustan, Hyundai, Mitsubishi, and Nissan all own factories in the region. News Source: Automotive News - sub. req.Image Credit: STR / AFP / Getty Images Plants/Manufacturing BMW Ford Renault

Michigan Gov. Gretchen Whitmer says manufacturing can reopen May 11

Michigan Governor Gretchen Whitmer on Thursday said the state's factories can reopen next Monday, May 11, removing one of the last major obstacles to North American automakers bringing thousands of laid-off employees back to work amid the coronavirus pandemic. While reopening the manufacturing sector, Whitmer also extended her state's stay-at-home order by about two weeks to May 28, citing a desire to avoid a second wave of COVID-19, the respiratory illness caused by the novel coronavirus. “WeÂ’re not out of the woods yet, but this is an important step forward," Whitmer said in a statement. "As we continue to phase in sectors of our economy, I will keep working around the clock to ensure our businesses adopt best practices to protect workers." This week, General Motors and Fiat Chrysler Automobiles said they were targeting resuming vehicle production in North America on May 18, but suppliers would need time to prepare ahead for that date. Ford has not said what date it is targeting. The governor previously extended the state's coronavirus stay-at-home order through May 15, but had lifted restrictions for some businesses. Neighboring Ohio had allowed manufacturing to resume this past Monday, putting pressure on Whitmer to follow suit. Michigan's shutdown had stymied efforts by the Detroit Three and rival automakers to restart vehicle assembly anywhere in the United States, because so many critical parts suppliers are based in the state. Automakers and their suppliers already have begun gearing up for a possible resumption of work at their U.S. plants, but needed the official go-ahead from Whitmer. Industry officials had been pressing Whitmer to allow suppliers to reopen starting May 11 so the automakers could resume operations on their target date. They also wanted the green light so they can press Mexico to open its auto sector as suppliers there are also critical for the industry restart. The automakers' plans were tacitly approved on Tuesday by the United Auto Workers union, which represents the Detroit automakers' hourly U.S. plant workers. The union had previously said early May was "too soon and too risky" to restart manufacturing. Under Whitmer's new order, factories must adopt measures to protect workers, including daily entry screening, no-touch temperature screening as soon as possible and use of protective gear like face masks. Automakers have already rolled out such policies.

Farley reacts as UAW expands strike against Ford, GM

Members of the United Auto Worker union walk out of the Chicago Ford Assembly Plant as Lance Williams from Lansing, Ill., waves the UAW flag Friday. (AP)   As the United Auto Workers walk off the job at an additional Ford and General Motors plant, Ford CEO Jim Farley addressed investors and members of the media Friday, pleading the case for the company's latest overture to the union and addressing both public and investor concerns regarding the core issues facing American manufacturing.  Farley made a public case for Ford's efforts to resolve the dispute, expressing frustration with the ongoing stalemate and noting both the concessions Ford offered before the strike began and the signing of a contract with Canada's Unifor. Farley also acknowledged UAW President Shawn Fain's success in getting the union's message out, quipping: "Shawn has been on TV more than Jake from State Farm at this point." The first-ever simultaneous strike against the Detroit Three automakers enters its third week with threats of continued expansion, but little in the way of obvious concrete progress.  "If the UAW’s goal is a record contract, they have already achieved this," Farley said. "It is grossly irresponsible to escalate these strikes and hurt thousands of families." Farley also lamented the fact that EVs have become the subject of partisan conflict, with the company's recently announced battery production facilities taking heat from both pundits and investors as Ford was forced to press pause on the venture while negotiations continue. Former President Donald Trump dropped in to Michigan this week to declare EVs the enemy of blue-collar jobs. "They've become a political football, and that's a shame," he said. Friday saw an expansion of the UAW strike to Ford's Chicago assembly plant and GM's Lansing, Delta Township, Michigan, assembly plant, covering about 7,000 workers, Fain said in an announcement, bringing the total number of workers on the picket lines to 25,000. The strike will not include any additional members at Stellantis, where talks have reportedly been more productive. The Ford and GM plants went on strike at noon Eastern today (Friday). Ford builds the Explorer and Lincoln Aviator in Chicago. GM's Delta Township plant builds Chevy Traverse and Buick Enclave. "Despite our willingness to bargain, Ford and GM have refused to make meaningful progress," Fain said in a video address Friday morning.