Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

Ford, General Motors and Fiat Chrysler Automobiles are partially shutting down their plants to curb the likelihood employees catching the COVID-19 virus. The shutdown will also allow the carmakers to thoroughly sanitize work areas before resuming operations.


The closures are believed to affect 25 final-assembly factories and about 150,000 workers, according to the three automakers and the United Auto Workers labor union (UAW). Eleven of the 25 facilities factories belong to GM, while eight are Ford’s, and six are owned by FCA.

According to RBC Capital Markets, global auto production this year is expected to decline 16pc, while a 20pc reduction is anticipated in the US, because of the pandemic.


The UAW said workers expressed consternation about their safety through the labour union, which previously demanded plants be shut down for two weeks. In lieu of UAW’s initial request, the automakers have implemented rotating partial shutdowns at all facilities and will scrupulously clean them and all equipment therein, as well as institute social distancing policies for workers.

Although the companies agreed to different provisions, they will still adhere to Centers for Disease Control recommendations. 

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