A Stellantis facility in Michigan is currently enjoying an extended, unplanned ‘siesta,’ proving once again that the global automotive supply chain is essentially a beautifully designed house of cards built on a single, vital foundation. The culprit this time? A rather enthusiastic fire that broke out last month at a key aluminum supplier.
The prestigious Warren Assembly Plant, which rolls out the high-margin Jeep Wagoneer SUV, has been dark since October 13th. Stellantis confirmed the shutdown will last until the week of November 3rd, coyly citing a “parts shortage”, specifically, aluminum hoods and doors, as confirmed by a candid UAW official. Evidently, you can’t exactly sell a luxury SUV without, well, doors.
The root cause is the September 16th blaze at Novelis Inc.’s Oswego, New York, plant. Novelis, a powerhouse owned by India’s Hindalco Industries Ltd., saw its hot mill, a vital component in its largest fully-owned US operation, suffer catastrophic damage.
The entire industry has been bracing for impact since the incident, a collective realization that relying on single-source suppliers for foundational materials is less a shrewd cost-saving measure and more a high-stakes game of industrial Russian roulette. Novelis is now optimistically targeting a return for the hot mill in the first quarter of next year. That’s next year, a timeline that suggests the current crisis is less of a hiccup and more of a prolonged, agonizing siege for Detroit.
Stellantis is hardly alone in this aluminum-induced panic. Ford Motor Co. is also feeling the heat, pun fully intended. Union sources have noted Ford has already been forced to curtail production on several key aluminum-paneled models, including their large SUVs and, perhaps most painfully, the flagship electric F-150 Lightning pickup.
Ford’s official response is the usual corporate platitude: “working closely with Novelis to explore all possible alternatives to minimize any potential disruptions”. Which means they are frantically calling every smelter on the planet to beg for aluminum that isn’t already earmarked for someone else.
