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Monday, 21 August, 2000, 21:20 GMT 22:20 UK
Ford shuts factories over tyre crisis
Worried drivers
Worried drivers want their tyres changed immediately
Ford Motor company is to temporarily close three US truck assembly plants temporarily to help it deal with the Bridgestone/Firestone tyre crisis.

The car giant said that 70,000 tyres which were due for use on Ford Explorers and Mercury Mountaineers would be diverted to dealerships to replace faulty Bridgestone tires.


Clearly this will impact earnings

Ford official
The three plants will close for two weeks from 28 August, with the result that 25,000 trucks will be cut from Ford's third quarter production schedule.

Senior vice president Martin Inglis said: "Clearly this will impact earnings."

Ford will be able to recoup most of the lost production of the 2001 Ford Ranger - about 10,000 units - during the remainder of the year.

But lost production of about 15,000 2001 Ford Explorers, at the centre of the recall, will be pushed into next year, he said.

The recall earlier this month of 6.5 million Bridgestone/Firestone tyres was prompted by safety fears.

Workers paid

The move has created a nationwide shortage, with the plant shutdowns seen as a way of speeding its resolution.

The recall came as the US National Highway Traffic Safety Administration investigates the tyres in connection with 62 deaths and more than 100 injuries.

The tyres in question were mounted mostly on Ford trucks and sports utility vehicles, including the Explorer.

The 15-inch tyres at the three plants were earmarked for use on new vehicles, but will now be sent to dealers and installed on existing Ford trucks and sports utility vehicles.

The plants employ about 6,000 workers, who will be paid during the shutdown.

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See also:

03 Feb 99 | The Company File
Global deal creates tyre giant
19 Jul 00 | Business
Mitsubishi recalls 514,000 vehicles
11 Aug 00 | Business
Tyre giant's woes grow
10 Aug 00 | Business
Tyre recall extended to Europe
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