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Ford plans $1.3 billion upgrade of Kentucky truck plant, 2,000 "New" Jobs


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Automotive News - LINK
December 1, 2015 - 12:01 am ET

Nearly a quarter of the 8,500 “new or secured” jobs that Ford Motor Co. promised the UAW in its newly ratified contract

will be at the Louisville, Ky., plant that’s preparing to build aluminum-bodied Super Duty pickups.

 

Ford today plans to announce a $1.3 billion investment in its Kentucky Truck Plant to support the redesigned Super Duty.

It said the retooling and expansion, including a new body shop, will create 2,000 jobs at the plant, which currently employs

about 4,400 workers.

Most of the 2,000 jobs will be new hires, though some may be filled by employees moving from other plants, according to

a source briefed on the plan.

 

 

The changeover will be much faster and less disruptive than it was for the F-150, which involved several months

of down time at two plants to convert their body shops and make other upgrades. Ford spent nearly $2 billion to

upgrade its Kansas City Assembly and Dearborn Truck plants, along with related parts and stamping plants.

 

By building a completely new body shop at Kentucky Truck, production of the current Super Duty can continue

until the company commences production of the new version. That means Ford won’t have to manage inventories

of the Super Duty as carefully.

 

“It will be a normal launch,” CEO Mark Fields said on Ford’s third-quarter earnings call Oct. 27. “We’ll handle it

during the shutdown periods, during the vacations, and we’ll be up and running.”

 

I'm curious, I get that Ford is building a whole new body shop for the aluminum Super Dutys

but I have two questions:

- Where do the extra 2,000 employees work, is that more on each shift or more shifts?

- What happens to the old steel body shop after Super Duty switches to Aluminum?

 

Yeah, I know the Expedition and Navigator switch over at a later date but once that's done,

what then for the steel body shop, does that area then get converted to more manufacturing room?

Edited by jpd80
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I'm curious, I get that Ford is building a whole new body shop for the aluminum Super Dutys

but I have two questions:

- Where do the extra 2,000 employees work, is that more on each shift or more shifts?

Likely added to each shift. When DTP changed over, they hired more people spread out over all 3 shifts.

 

- What happens to the old steel body shop after Super Duty switches to Aluminum?

 

Yeah, I know the Expedition and Navigator switch over at a later date but once that's done,

what then for the steel body shop, does that area then get converted to more manufacturing room?

Probably use it as a parts and sequencing center like they did with some of the old Wayne Assembly building to feed MAP. There's a likely chance they could use it for additional stamping capacity as well.

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So clearly, boosting the output of Super Duty is the plan here and hopefully,

those F250s and F350s now become even more attractive to buyers......

I would love to see the F250’s and F350’s become more attractive but I think the price has really outpaced the common person. I wanted a SuperDuty for the longest time for household use but basically waited 15 years to buy a MY 99 while I continued to use my 93 F250. I don’t know if anything can bring the prices of these trucks down to a more manageable level at this point in time when you consider that one can easily dump $45,000-$50,000 into a F150 today. I just don’t think we can get that genie back in the bottle.

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Two questions regarding the SD plant. With the F150s, they fortunately had 2 plants so they could shut one down. How are they going to do this with the SD?? I believe order banks for the 2016 close around April and once they complete the builds for the 16s, will retooling begin? Or is it that they are building a whole knew assembly line for the Aluminum version and the Navi and Exp. continue to use the current line?

 

Also heard (from a very good source) that the highest trims (KR, Plat) will see a $10k price increase. If this is true, I can't see how Ford won't lose Market Share as a loaded up truck will sticker for over $80k and don't even want to see what a loaded F450 will be.

 

I remember paying $43k for my 07 Harley 6.0... then $60k for my 15 F350 Plat.... I just can't see people continuing to accept these huge price increases and buying their products.

Edited by blwnsmoke
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Two questions regarding the SD plant. With the F150s, they fortunately had 2 plants so they could shut one down. How are they going to do this with the SD?? I believe order banks for the 2016 close around April and once they complete the builds for the 16s, will retooling begin? Or is it that they are building a whole knew assembly line for the Aluminum version and the Navi and Exp. continue to use the current line?

 

Also heard (from a very good source) that the highest trims (KR, Plat) will see a $10k price increase. If this is true, I can't see how Ford won't lose Market Share as a loaded up truck will sticker for over $80k and don't even want to see what a loaded F450 will be.

Regarding changeover. They mentioned that changeover will be "normal", meaning that once the order bank closes, it's build up as much inventory as they can. They're going to do as much of the work as they can during regularly scheduled shutdown periods (Christmas/New Years break, 4th of July, etc.) and be up and running on MY2017 as soon as they can.

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Two questions regarding the SD plant. With the F150s, they fortunately had 2 plants so they could shut one down. How are they going to do this with the SD?? I believe order banks for the 2016 close around April and once they complete the builds for the 16s, will retooling begin? Or is it that they are building a whole knew assembly line for the Aluminum version and the Navi and Exp. continue to use the current line?

 

Also heard (from a very good source) that the highest trims (KR, Plat) will see a $10k price increase. If this is true, I can't see how Ford won't lose Market Share as a loaded up truck will sticker for over $80k and don't even want to see what a loaded F450 will be.

 

I remember paying $43k for my 07 Harley 6.0... then $60k for my 15 F350 Plat.... I just can't see people continuing to accept these huge price increases and buying their products.

 

If you want all the goodies on your truck, you're gonna have to pay. A '15 F350 Plat is going to seem bare-bones compared to a loaded '17 Plat, in the same way that your '07 Harley seemed like an old beater compared to your '15. I mean, 7 cameras, massaging seats, BAMR, etc. all add up in prices. I would expect there to be a small increase (< $1k) between comparably equipped '16 and '17 trucks, but there won't be a $10k increase when comparing apples to apples. The same thing happened when the '15 F150 came out, but when you add goodies, you add price.

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I'm curious, I get that Ford is building a whole new body shop for the aluminum Super Dutys

but I have two questions:

- Where do the extra 2,000 employees work, is that more on each shift or more shifts?

- What happens to the old steel body shop after Super Duty switches to Aluminum?

Related to the above 2 questions

- Where are the body panels for the F150 stamped ?

- Where are the current steel body panels for the Super Duty stamped ?

- Is it likely that the aluminum panels will be stamped in the same location as the current steel panels ?

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Related to the above 2 questions

- Where are the body panels for the F150 stamped ?

- Where are the current steel body panels for the Super Duty stamped ?

- Is it likely that the aluminum panels will be stamped in the same location as the current steel panels ?

 

I think the F150 panels are stamped at DTP (or just offsite nearby). I thought Pioneer mentioned that parts of the SD cab would be stamped at the same place and shipped to KTP. Maybe I'm remembering things incorrectly, but I believe that's what was said.

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Related to the above 2 questions

- Where are the body panels for the F150 stamped ?

- Where are the current steel body panels for the Super Duty stamped ?

- Is it likely that the aluminum panels will be stamped in the same location as the current steel panels ?

Current Super Duty is mostly stamped at KTP.

 

Next gen Super Duty will be 50/50 stamped between DSP and KTP with the shared stampings. Most of the B class panels, the ones you don't see on the assembled truck will be stamped at Dearborn. The A class surfaces will be at KTP.

 

The unique stampings should be mostly at KTP.

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Two questions regarding the SD plant. With the F150s, they fortunately had 2 plants so they could shut one down. How are they going to do this with the SD?? I believe order banks for the 2016 close around April and once they complete the builds for the 16s, will retooling begin? Or is it that they are building a whole knew assembly line for the Aluminum version and the Navi and Exp. continue to use the current line?

 

The new Super Duty will be assembled in a new body shop. That will allow PP builds to happen while the old model is still in production. This will be a much faster changeover than the 150's.

 

Can't comment on the Exp/Navi. Maybe somebody else knows.

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Two questions regarding the SD plant. With the F150s, they fortunately had 2 plants so they could shut one down. How are they going to do this with the SD?? I believe order banks for the 2016 close around April and once they complete the builds for the 16s, will retooling begin? Or is it that they are building a whole knew assembly line for the Aluminum version and the Navi and Exp. continue to use the current line?

Ford is building a whole new body shop to make the new alloy bodies, so the old body shop will work flat out

up to the switch and then the alloy body shop will take over. The steel body shop will continue making bodies

for Expedition and Navigator until they switch.

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No way a similarly equipped KR or Platinum will increase $10K or even $5K. $1K at most and probably closer to a few hundred. They might be adding $10K in optional accessories or features not found on the 2016s.

 

I wasn't referring to base MSRP which is why I said the higher trims (KR and Plat). Ford generally packages everything into them at that trim level which forces you to get them. That's where the $10k increase is where I'm talking. I know on my Plat there was only one package.. sure I could add on the heated rear seats and 5th wheel prep and things like that but interior options, it was all included.

 

Unless Ford will change it and create 2 packages like a 500a and 501a for example, I believe you will be seeing a $10k increase loaded up.

 

Yes if you want the options, you have to pay... I get that you are getting a lot more with the 2017 but not everything is always wanted on the higher trims yet you are stuck with it. Obviously it is the best way for Ford to turn a higher margin/profit.

 

I still believe that if someone spends $60k on a Platinum, having to spend $70k on a 2017 platinum (if my info is correct) will turn a lot of people away or force them to drop down to something like a Lariat. The problem with that was a Lariat Ultimate was only $1,600 less then my Platinum optioned the way I wanted it which is why I stepped up to the Plat.

 

I'll be curious to see how Ford packages everything on the new SD...

Edited by blwnsmoke
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My guess is that the Lariat Ultimate will be similar in options to your Plat. Today's Plat buyers will be tomorrow's Lariat Ultimate buyers, unless they want to spend a few extra grand and buy a Plat. Look for a Limited to show up in '18. It's getting crazy, but option for option, I don't expect a huge jump in price.

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My guess is that the Lariat Ultimate will be similar in options to your Plat. Today's Plat buyers will be tomorrow's Lariat Ultimate buyers, unless they want to spend a few extra grand and buy a Plat. Look for a Limited to show up in '18. It's getting crazy, but option for option, I don't expect a huge jump in price.

 

Did you add a Lariat "Ultimate" trim to the lineup? Haha, I've never heard of it.

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