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Parts supplier expansion may ease Ford's capacity bottleneck
According to Reuters, auto parts suppliers are increasing their productivity this year to meet the production needs of major automakers including Ford.
Ford CEO Alan Mulally pointed out that this may alleviate Ford's capacity bottleneck. In 2011, Ford Motor Company accounted for 16.8% of the US market. In 2012, the figure fell to 15.5%. Mulally said that part of the reason is that Ford's production capacity is reduced due to insufficient supply of parts and components manufacturers, and the decline in production capacity will cause vehicle production to fail to meet market demand and indirectly lead to a decline in market share.
Mulally said at the Los Angeles Auto Show on Tuesday that whether our production capacity can reach a balance between supply and demand depends in part on the supply efficiency of component suppliers. At present, the capacity bottleneck has been alleviated.
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