Ford and GM announced last week that they were pausing production on their Mustang and Camaro models. Ford attributed its decision to close its Flat Rock Assembly Plant, which employs 2,420 people and produces the Ford Mustang and Shelby GT350 and GT350R, to the global semiconductor shortage.
Ford sold 52,414 Mustangs in the United States last year. Sales have been declining since it sold more than 122,000 in 2015. So far, in 2022, Ford reported it has sold 10,371 Mustangs in the U.S.This round of closures isn’t the first time supply chain snarls halted production. As recently as last month, Ford had to halt production for its F-150, the No. 1 bestselling car in the U.S. last year.
Car manufacturers were especially affected by the COVID-19-induced supply chain problems. The precious semiconductor chips are key components of vehicle operating systems.