DETROIT Ford Motor Co (F.N) and Fiat Chrysler Automobiles (FCAU.N) (FCHA.MI) are cutting production of smaller cars and idling workers at some North American factories, while boosting output of sport utility vehicles in reaction to a long-term shift toward larger vehicles, the companies said separately on Tuesday.
The Detroit-area plant that makes the slow-selling Ford Focus and C-Max compact cars will shut an additional five weeks through the end of this year beyond the normal down time of two weeks in the summer and one week at the year-end holidays, Ford confirmed on Tuesday.
The additional five weeks will not be consecutive, Ford said, adding that it foresaw the slowing of car demand and had planned for the extra downtime at the start of the year.
U.S. consumers have increasingly favoured SUVs and pickup trucks over traditional cars like sedans and hatchbacks. Car sales made up about 42 percent of U.S. new-vehicle sales in the first five months of this year. That compares with about 46 percent in the same period of 2015.
(Reporting by Bernie Woodall; Editing by Leslie Adler)
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Updated Date: Jun 08, 2016 03:30 AM