Auto Giant’s Earnings Statement Anticipated to be Severely Impacted by Destruction of BordWarner Plant
Should you be considering a replacement four-wheel-drive pick-up truck, then you might soon have trouble locating one after the BorgWarner factory making transfer cases for Ford, Ram, and Toyota pickup trucks suffered damage because of a tornado on April 12, 2020. While your dealership might not talk about a new vehicle’s transfer case together with you, this component is so important that Ford Motor Company notified the Securities and Exchange Commission on April 17, 2020, of the damaged plant.
In documentation filed with the US Securities and Exchange Commission, Ford reports that it might be too soon to inform just how the destroyed manufacturing plant will impact the company’s desires to restart assembly or maybe the company’s profits. Although some officers with Ford states that the plant being not online could have no impact on the company’s new Ford F-150 launch, other representatives with the organization say that it must be too early to say with the effect that manufacture of the transfer case will have in the truck’s upcoming. Executives with BorgWarner state that they do not know when production may restart again or when BorgWarner will repair the production facility.
Many groups have expected the unveiling of the 2021 Ford F150 since the truck is supposed have a whole new layout. The organization has hinted that this new truck will be noticeably bigger than the previous generation. Rumours continue that this newer truck can have a sizable information display in the dash board that may offer many additional features. Despite earlier gossips, this pickup truck will likely use a 5-liter V8 engine that one could see in the present Ford F150. Insiders expected that individuals would still have to wait until 2022 for the F150 with the same level of horse power because the 2021 Dodge Raptor. It is unknown if the devastation in the tornado may drive back a whole new powerful motor getting seen in the Ford F150.
Among the problems with highly purpose-built components like transfer cases is that it requires major financing to produce and tool machines to manufacture them. As a result, many companies often share the expense between themselves, so having this facility ruined may have a ripple type impact over the auto sector.