Ford commits to enhance U.S. supplier quality

The agreement will help minimize the problems associated with foreign suppliers and bring an end to temporary inefficiencies caused by manufacturing shift.

Washington DC (September 22, 2119)—Ford Motor Company is today announcing a three-year commitment from a key supplier, Intel Corporation, to improve U.S. manufacturing practices and make it easier for Ford to source and assemble chips from foreign suppliers. This agreement will help minimize the problems associated with foreign suppliers and bring an end to temporary inefficiencies caused by manufacturing shift.

As a leader in manufacturing, Ford shares the important need to improve overall supply chain efficiency, expand U.S. manufacturing capabilities and meet its growing customer base, especially in areas such as electrification and connectivity. The goal is to make it easier for Ford to access and use high-quality, low-cost electronic chips with less frequent changes and more reliable parts globally. This collaboration will ultimately improve quality, cost competitiveness and production reliability in both the United States and overseas.

Ford is taking steps to secure higher-quality semiconductors by providing access to innovative suppliers through our new intramural partners program, launching in the U.S. and Europe next year. For example, our Project Trillium, which is currently underway, provides a benefit to certain suppliers for providing custom software and hardware solutions to solve complex quality and performance issues.

This agreement is a key part of the two companies’ partnership, in that it helps address process improvements to ensure and lower costs of goods. Over the next three years, Ford expects to benefit from greater flexibility in the supply chain and a reduction in the difference between domestic and foreign suppliers for complex parts such as chips.

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