A third fire in two months at a Novelis aluminum facility — the source of almost two-thirds of the aluminum for Ford’s F-150 lineup — is weighing on Ford Motor (F) shares Thursday.
Ford (F) slipped into the red and last traded with a loss of more than 2%.
After a major fire in September, Ford (F) warned that the disruption in aluminum would cost the company up to $1 billion. A second, smaller fire was reported to have occurred in October.
Besides being one of the largest employers in Oswego County, New York, the Novelis facility provides up to 40% of the aluminum used in the auto industry with Ford (F) its largest customer.
Shares of General Motors (GM), and Stellantis (STLA) are also drifting lower on the news, albeit much more muted compared to Ford (F).
