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RAM is STRUGGLING

5463 Views 14 Replies 6 Participants Last post by  L.O.A.
And struggling dearly, but hey why so negative for? ;)



RAM 1500's come out of one of two factories. One located in Warren, Michigan (Dodge City) and Saltillo, Mexico. All 1500 reg cabs come out of Mexico, everything else comes from Warren. We won't have any Mexican trucks on the board, for now I believe the Ecodiesel is not allowed with the regular cab.

The Warren plant (main facility) is currently operating on two shifts, 6 days per week while often rotating in a Sunday shift, and they're still struggling to meet demand. Supposedly the real issue has been a lack of components, I'm sure Warren could support a third shift during the week, but you cant build trucks on hopes and dreams now can you...

Theres talks that FCA is contemplating a third truck facility, maybe in St.Louis, but Marchionne nixed the exuberance saying the chances were 50/50 at best. After all the core issue is still component supply. Regardless it's an excellent problem to have for RAM, now with the top two slots in full size fuel economy.
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More demand less supply means just means more we have to pay :(
you're right, too a degree. Its also a TON of leverage for RAM vs the suppliers. If they can leverage that much demand into an across the board reduction in component cost due to scale its a win for us.

But thats ideally speaking because you know the savings will be poured back into the operating margin and we wont save a lick ;)
Well and I think alot of the demand comes from people not even remotely enthralled with the new silvy. Which basically looks like rewarmed mashed potatoes...

I do wonder what kind of strain there is on the stream of engines coming from Motori...
Struggling to keep up with demand maybe, but they are not struggling to sell trucks. Ram trucks are selling in droves and April's sales grew by 17% over the same month last year. I think that having to expand production is a pretty nice problem to have. Much better than not having customers to sell to.
cough, chevrolet, cough ;)

I honestly think a big factor is peoples anemic reaction to the new Silvy...
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