Initial bakkie supply-chain problems now in hand, Ford assures
Tight supply of the new Ford Ranger bakkie is almost a thing of the past, promises Ford Motor Company of Southern Africa’s (FMCSA) president and CEO Jeff Nemeth.
He says FMCSA’s Silverton plant has been experiencing challenges supplying the pick-up to its almost 150 global markets.
Nemeth says FMCSA’s supply chains are particularly long, as South Africa is quite some distance from component suppliers in Thailand, for example. Other Ranger production sites are located closer to their suppliers, resulting in shorter, more flexible supply chains.
Nemeth notes that FMCSA “had difficulty” in bringing in all of the parts for the Ranger from all over the world, despite the 70% local content on the vehicle.
However, the company has now has more parts more readily available to the Silverton plant.
The South African component supplier base also struggled to triple its supply for the new Ranger model, compared with the previous Ranger.
“The local supply base is now supplying us as expected. Everyone had growing pains last year,” says Nemeth.
Another challenge is that Ford globally allowed dealers to make last-minute amendments to orders placed at plants.
“We have now limited dealers’ ability to amend their orders close to production,” says Nemeth.
“We believe these [actions] will stabilise production in South Africa.”
FMCSA marketing, sales and service VP Dean Stoneley says the company sold 49 224 vehicles in South Africa last year, with ten months of the new Ford Ranger contributing 15 100 units to this number, giving it a record 17.3% one-ton bakkie market share.
The previous record in terms of Ranger sales was a 12.7% share in 2005, with FMCSA now aiming to clinch a more than 20% slice of the one-ton market this year.
FMCSA sold 1 255 new Rangers in South Africa in January and exported 1 449 units.
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