Ford Motor Co. (F) has idled a Canadian engine factory and reduced production at an assembly plant as the protests blocking freight traffic between Detroit, Michigan and Windsor, Ontario hurts supply chains.
Ford’s engine plant in Windsor has been shutdown and the schedule cut back at a factory in Toronto that makes the Edge SUV, the company said. The automaker is continuing to ship engine inventory to U.S. plants but is struggling due to the trucker blockade at the border.
The blockade of the Ambassador Bridge between Detroit and Windsor by protesters angry over COVID-19 restrictions is in its third day, with no end in sight. Windsor officials said they prefer a negotiated settlement over using force to tow away the vehicles that have clogged the city’s streets and prevented trucks from crossing the U.S.-Canada border.
Windsor Mayor Drew Dilkens said the city’s police department is negotiating with multiple groups to try to persuade them to voluntarily leave the city’s streets so the bridge can be reopened.
Dilkens said the city fears bringing in tow trucks would inflame the situation on the ground, where 50 to 75 vehicles and about 100 protesters remain after two days.
Most protesters say that they’re in opposition to a vaccine mandate for truck drivers or because of COVID-related restrictions that have been in place for nearly two years across Canada.
Dilkens said 2,600 businesses and 10,000 people are employed in the warehousing and shipping sector that relies on the border crossing, and every day about $450 million in goods cross between the U.S. and Canada on the Ambassador Bridge.
The blockade has also forced Stellantis NV to curtail two shifts at its assembly plant in Windsor because it can’t obtain parts, the company said. The Windsor plant makes the Chrysler Pacifica and Voyager minivans.
White House Press Secretary Jen Psaki said the Biden administration is in close contact with Canadian authorities, Michigan Governor Gretchen Whitmer and auto industry officials about the current situation.
Bank of Canada Governor Tiff Macklem said during a media availability earlier this week that “We’ve already got a strained global supply chain, we don’t need this,” regarding the trucker blockades. He added: “If there were to be prolonged blockages and key entry points into Canada, that could start to have a measurable impact on economic activity in Canada.”