American automaker halting production on multiple popular vehicles
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Ford has halted production of its three-row Expedition SUV and the luxury Lincoln Navigator SUV for one week at the Kentucky Truck Plant, with the pause expected to extend to the Super Duty pickup range next week. Last week, the company also paused assembly of the electric F-150 Lightning due to an aluminum shortage, potentially affecting five key models including the gas-powered F-150—the nation's best-selling vehicle for over 40 years and a major profit driver. All impacted vehicles are manufactured at the Kentucky Truck Plant, which handles some of Ford's most profitable American-made SUVs and trucks. The disruptions stem from a September 16 three-alarm fire at a Novelis aluminum plant in Oswego, New York, where firefighters battled the blaze from ladders amid risks of roof collapse, with no injuries reported.
Novelis, the world's largest aluminum recycler and supplier of 40 percent of the metal used by U.S. automakers, confirmed the damaged facility will not produce car-grade aluminum until the first quarter of 2025, with analysts estimating a resumption in March or April. Ford, Novelis's largest customer, faces a potential $1 billion hit as it sources replacement U.S.-made aluminum, while the company sources from overseas facilities in the UK, Germany, Italy, Brazil, and South Korea, incurring 50 percent tariffs on shipments. Compounding the issue, President Donald Trump's March tariffs of 25 percent on foreign-made aluminum—doubled to 50 percent in May—add to Ford's estimated $2 billion annual tariff bill, including 25 percent on carpets and fasteners from most countries, 15 percent on wiring from Asian hubs, and the elevated aluminum rate. CEO Jim Farley stated on The Verge's Decoder podcast, "That's not a fair fight," noting Ford builds 80 percent of its vehicles in America yet pays more in tariffs than Japanese rivals like Toyota and Honda, which face only 15 percent under a U.S.-Japan trade agreement. Novelis reported, "We are urgently taking steps to minimize the impact of the recent fire at our Oswego facility on our customers," while a Ford representative did not immediately respond to inquiries but previously described the plant as one of several suppliers.
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The shortage risks limiting vehicle availability and driving up prices, with the average new vehicle cost surpassing $50,000 yesterday and projected to remain elevated into next year. Americans hold over $1.6 trillion in auto debt, with average monthly payments around $700. Ford's stock dropped 1.5 percent in early Tuesday trading and more than 5 percent over the past five days. Novelis typically produces 350,000 metric tons of sheet aluminum across its six U.S. facilities, and American automakers are already strained by tariff-induced metal scarcity.