Coronavirus closes Ferrari and Lamborghini factories

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Gary Gastelu, editor-in-chief of FoxNews.com, explains how dealerships can be affected by the postponement of the New York Motor Show.

Fiat Chrysler and car manufacturer Peugeot PSA Group are closing almost all car production in Europe, while Volkswagen has closed factories in Italy and Spain, as global brands learn about the spread of the new coronavirus and the source lines begin to fail.

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U.S. factories remain largely open, some say this could be replaced if portion shortages become critical or public fitness rules replace. U.S. factories are beginning to suffer as origin chain disorders of products manufactured in China and Europe continue to grow. The Federal Reserve Bank of New York announced on Monday the largest drop in production rates in the entire state.

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Meanwhile, some of Italy’s largest corporations, at the forefront of the epidemic, are reconsidering their meeting lines and other production processes to remain open. Similar reassessments are taking place in the United States, while the epidemic is also spreading there.

EssilorLuxottica, the French-Italian manufacturer of glasses from brands such as Ray-Ban and Oakley, said over the weekend that it ended its factories in northern Italy for several days to put into force new employee coverage measures negotiated with the unions. The company will largely adopt italian government rules to minimize area staff and staff over the gap to each other on production sites and meeting lines.

Factory workers should also wear a mask and take the temperature at the front of the plant, among other measures, the corporation said.

In the United States, industry executives and analysts are also starting to think about how to adjust production programs and experiment with changes. In Chattanooga, Tennessee, Volkswagen closed its plant on Monday to allow for arrangements in closed schools.

“We will also take the time to strengthen the health and deep cleansing measures already strengthened in our facilities,” said a spokesman. Production will resume on Tuesday.

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Ford Motor Co. said on Monday that it would make a bigger 3-day closure this week at its plant in Valencia, Spain, the week, and then would think again on stage before resuming production. The company said 3 cases of coronavirus infection were shown within 24 hours. One of the ones he showed affected a user who didn’t enter the factory.

“We act quickly to adhere to the established protocol, adding the identity and self-isolation of all personnel who have had close contact with the staff involved. We will take all other appropriate measures to minimize the dangers associated with this scenario, ” Said Ford. he told me.

The United Auto Workers union and the 3 Detroit automakers, Fiat Chrysler, Ford Motor and General Motors Co., said Sunday that they are setting up a working group to adopt new procedures at their U.S. plants. For older workers. These come with tighter control of visitors, more social distance measures and greater cleanliness of non-unusual areas.

“This is a fluid and unprecedented situation, and the working group will act temporarily to take advantage of the far-reaching preventive measures we have implemented,” UAW and automakers said in a joint statement.

Fiat Chrysler said last week that it would also distribute workers at the workstations of its Italian plants, a move it said would reduce production rates. On Monday morning, it took the highest radical resolution to close all production in Europe to the maximum for two weeks.

The automaker said it would close six Italian factories that join Fiat, Jeep, Maserati and Alfa Romeo vehicles. The company also closes a factory in Poland and another in Serbia that manufacture Fiats. The company, which has about 65,000 employees in Europe, said how many employees would remain at home due to closures.

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Like all corporations in Italy and many other parts of Europe, Fiat Chrysler already employs its staff from home. Factory staff who are forced to take time off to paint due to closures will get most of their wages through a government-funded program for struggling companies.

Last month, Fiat Chrysler temporarily stopped production at its Serbian plant because it may not get portions from China. The plant closures announced on Monday are not similar to the inability to acquire portions, according to a user close to the situation. It helps to keep open some small factories in Italy that manufacture engines and other parts, because in those factories it is less difficult to make changes to meet the minimum distance requirement.

Closed plants come with one in the south that manufactures Jeep Renegades that ship to North America. Fiat Chrysler imported a total of 98429 cars from Italy to the United States in 2019, according to the International Trade Administration.

PSA, car manufacturer Peugeot, said its plants in Madrid, Spain, and Mulhouse in eastern France would close on Monday. The rest of the car manufacturer’s plants in Europe would close by Thursday. The French car manufacturer has plants in Germany, Poland, Portugal, Slovakia and the United Kingdom, as well as in France and Spain.

Ferrari NV and Lamborghini, the Volkswagen-owned luxury car manufacturer, closed their own factories in Italy this weekend. Ferrari said he was experiencing problems in the home line, while Lamborghini’s chief executive said at one end that his plant was “an act of social responsibility.”

Volkswagen, the world’s largest car manufacturer through sales, said Monday that it fit complicated production at its European plants due to disruptions to suppliers and national governments that signaled emergencies. However, he said that as the stage in Europe darkened, its production base was improving in China, where 31 of its 33 plants are now back online after weeks of closure when the coronavirus pandemic seized the country.

Visitors to Ferrari’s new models at the Frankfurt International Auto Show in September 2017.

“As the stage in China stabilizes, it fits more complicated in Europe,” said Volkswagen spokesman Jorn Roggenbuck. “It fits more and more to the source strings.”

The Volkswagen Lamborghini and Bugatti plants in Italy have stopped production. Following the declaration of the Spanish government’s state of emergency, Volkswagen’s plants in Martorell and Navarra closed their doors. Factories produce cars for the SEAT and Volkswagen passenger car brands.

As the coronavirus moves to the United States, executives and analysts are also making adjustments there. However, radically reorganizing meeting lines is complicated for the U.S. automotive industry, where redundant capacity is low, said Brian Collie, boston Consulting Group’s director of automotive practice.

“Most automakers have a tendency to manufacture a particular style line on a single line. Most suppliers of a given vehicle program have a tendency to manufacture this in a singles plant,” he said. “Then the question is what happens on this plant if someone gets the coronavirus? How do we fix it?”

He says some brands restrict the number of visitors to sites and add providers. Paul Sura, vice president of commercial operations at Cypress Semiconductor Corp., which manufactures electronic parts for the industry, said the company restricts factory visits.

“We reject almost all visitors. If consumers need to come and audit us, which is generally every week, none of this happens,” he said. “Everything is postponed for at least two or three months. We don’t let anyone in unless they have to be there to keep the plant running.”

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