The Ford Motor Company has estimated a headwind of up to $1b as a result of a major fire at Novelis’ Oswego aluminium rolling mill.
The fire, which occurred on 16 September, halted hot mill operations, impacting Ford’s primary source for rolled aluminium.
In the company’s Q3 earnings call, CEO of Ford, Jim Farley, said: “We immediately mobilised a dedicated crisis team, worked around the clock with Novelis to secure alternative aluminum sources for our operational lines and accelerate the plant’s recovery.
“Several top leaders and I personally visited the site to support all of these efforts. In addition, we are adding up to 1,000 new jobs to increase F-series production to recover lost volume and fulfill strong customer demand.
“We have made substantial progress in a very short timeframe in both reducing the 2025 impact and putting in place an exciting recovery plan for next year.”
Despite the fire, Ford recorded nearly $50b in revenue for Q3.
Novelis expect the hot mill to be operational by the end of the year, with important structural work taking place throughout October.
