US EditionPublished • loading... • Updated
Fire Disrupts Aluminum Supply for Ford, Other Automakers
The fire destroyed the hot mill, halting production of 40% of U.S. automotive aluminum sheets and risking supply chain disruptions for major automakers including Ford.
- A fire at Novelis's Oswego, New York plant on September 16 destroyed the hot mill, halting about 40% of U.S. automotive aluminum supply until early next year.
- Given Novelis's scale and customer list, the Oswego outage impacts the automotive industry, as Novelis produces over 350,000 metric tons annually, supplying about a dozen automakers.
- When the Wall Street Journal reported the fire in early October, Ford's shares plunged over 7% intraday and Ford said it is working with Novelis while exploring alternative suppliers.
- Suppliers' shares fell as Wells Fargo projected a ~20% F-Series output drop—roughly 46,000 trucks—potentially costing about $800 million in FY25 earnings, with the outage expected to last months.
- Later this month, CEO Jim Farley and his team will present third-quarter earnings and likely update guidance, as Morningstar analysts said the outage wouldn't see Ford's long-term earnings power as impaired.
Insights by Ground AI
12 Articles
12 Articles
Ford Stock Plunges as Devastating Supplier Fire and Recalls Turn 2025 Into a Nightmare
Fire at Key Supplier Sparks Ford Stock Plunge Ford’s shares were hammered in early October after a “devastating” late-night fire at a crucial supplier raised alarms about production delays. The fire broke out on Sept. 16 at Novelis’s Oswego, New York plant – a facility that produces roughly 40% of the aluminum sheet used by the U.S. auto industry markets.chroniclejournal.com. Novelis, a subsidiary of Hindalco, is Ford’s primary source of aluminu…
Coverage Details
Total News Sources12
Leaning Left2Leaning Right3Center2Last UpdatedBias Distribution43% Right
Bias Distribution
- 43% of the sources lean Right
43% Right
L 29%
C 28%
R 43%
Factuality
To view factuality data please Upgrade to Premium
