No Currency, No Parts: Ford Halts Operations in Venezuela
Español Ford has decided to suspend the assembly of its vehicles in Venezuela. This measure, announced on Monday, is the result of the lack of foreign currency for the importation of necessary parts.
Recently, automakers — just like other businesses — have made complaints about currency controls implemented by the Venezuelan government, that hamper the importation of essential products for the industry. According to employees of the business, the plant in the city of Valencia will halt production up until the end of the month.
Haiman El Troudi, Venezuela’s minister of transportation, stated that after a meeting with company representatives and public officials, it is expected that the Ford plant will open its doors again in a few weeks.
The automobile industry in Venezuela finds itself in a critical situation, after a 76 percent drop in production thus far this year in comparison to 2013. That includes manufacturers such as Fiat, Chrysler, General Motors, and Mitsubishi, which also have assembly plants in Venezuela. Like Ford, Toyota Motor Corp announced the suspension of its vehicle assembly operations in the country in February, due to the same currency-control problems.