Tight stock ranges of Ford Motor’s F-150 pickup due to pandemic-related plant shutdowns earlier this 12 months and production beginning for a redesigned mannequin led to a 20.9% lower within the automaker’s sales in November, the corporate stated Wednesday.
The Detroit automaker reported sales of the favored full-size pickup have been practically minimize in half – down 45.9% – in contrast with November 2019. Its truck sales general final month fell 20.9%. That features a 27.2% lower in sales of its F-Series pickups, together with the F-150 and different bigger variants of the automobile.
Ford shares fell lower than 1% in buying and selling Wednesday. The inventory, which has a market worth of practically $36 billion, is down about 1% because the begin of the 12 months.
The supply downside for Ford highlights a unbroken concern for the automotive business as buyer demand for pickups has remained comparatively sturdy through the coronavirus pandemic. Plants have been pressured to shut for roughly two months through the second quarter through the first surge of Covid-19 instances. Automakers have been working crops that produce the autos practically across the clock to refill vendor inventories.
“F-150 inventory continued to tighten as we moved through our Q4 changeover to the all-new F-150,” stated Mark LaNeve, Ford vice chairman, U.S. advertising, sales and service, in a launch. “This was a result of coronavirus-related production stoppages in Q2 and a strong sell-down of the current model F-150.”
Ford additionally famous a “renewed give attention to stay-at-home insurance policies due to rising coronavirus instances” and one much less promoting weekend within the month in contrast with a 12 months in the past as causes for its sales dropping to 149,931 autos in November, down about 40,000 from a 12 months earlier. Ford’s sales for the 12 months are down 16.8% by means of November.
New automobile sales final month have been estimated to have declined by 15% to 1.24 million throughout the U.S. business, in accordance to Ford.
This is the second consecutive month that Ford has launched month-to-month sales after new CEO Jim Farley promised Wall Street better transparency. The automaker had been reporting U.S. automobile sales on a quarterly foundation since final 12 months.
– Honda: Down 23.4%
– Hyundai: Down 10.6%
– Kia: Down 5.2%
– Mazda: Down 10.8%
– Subaru: Down 11.4%