Ford Motors has announced that they will be laying off over 130 workers from their factory near Cleveland, Ohio. The layoffs, taking place at the Ohio Assembly Plant in Avon Lake, will last from next week until the company is ready to product a new model in September.
The plant specializes in trucks and demand has been down over the last year, causing the layoffs. Ford hopes that by releasing new F-650 and F-750 commercial trucks launches in September, they will be able to bring the market back up again and not have to lay off any more workers.
The Wall Street Journal has more:
The strength of the commercial-truck sector has been considered a sign that economic activity is robust in the U.S. The affected trucks serve a variety of needs, from dump trucks to cargo haulers to tow trucks.
Ohio is home to several automotive assembly plants and factories that make parts for cars and trucks. The state is one of several being highlighted amid President Donald Trump’s push for more American jobs in the car industry.
U.S. auto sales are slumping in 2017, potentially falling off a seven-year growth streak that has included two consecutive record years for volumes of lighter vehicles, such as pickups, SUVs and sedans. Through April, light-vehicle sales are down 1.3%, according to Autodata Corp.
Sales of big trucks have taken a much bigger hit, falling 16% through the first quarter compared with the same period a year ago, according to WardsAuto.com. Big-truck sales have fallen for 12 consecutive months, WardsAuto.com said.
Ford’s heavy-truck sales are down 10.7% through four months.