News / Americas

Ford Suspends Vehicle Assembly in Venezuela

Reuters
U.S. automaker Ford has halted operations in Venezuela on Monday due to a lack of foreign currency to import parts for assembly, workers at its plant said.
 
Like other private businesses in Venezuela, carmakers have been complaining that the socialist government's currency controls are preventing them from importing essential products due to restrictions and delays in purchases of dollars.
 
Workers, who spoke to Reuters on condition of anonymity, said the plant in the central city of Valencia would be paralyzed until the end of May.
 
Transport Minister Haiman El Troudi confirmed the stoppage at the plant but said it should reopen in two weeks after a meeting between Ford representatives and government officials that resolved some “critical bottlenecks.”
 
The minister said state currency board Cencoez would release $20 million in debt to Ford this week.
 
Toyota Motor Corp. halted vehicle assembly in Venezuela in February for the same reasons.
 
Venezuela's struggling auto industry saw first-quarter production fall 76 percent to just 3,424 vehicles, compared with 14,316 units in the same period of 2013, according to national automakers' organization Cavenez.
 
Ford assembled only 499 cars in the first three months of 2014.
 
Automobiles are just one sector of many where President Nicolas Maduro's government is facing clamor to release more dollars for imports. He says unscrupulous businessmen exaggerate needs in order to flip dollars on the black market for profit.
 
But nevertheless ministers are holding urgent meetings with business heads to try and resolve problems and help reverse the slide in local production.
 
Venezuela operates three exchange controls - at 6.3 bolivars per dollar for preferential goods, and at around 11 and 50 for other sectors via two Central Bank mechanisms.
 
The dollar is trading at about 66-68 bolivars on the black market, according to illegal web sites that track it.
 
General Motors, Mitsubishi, and Fiat Chrysler also have assembly plants in Venezuela.

You May Like

Obama: I Will Do 'Everything I Can' to Close Guantanamo

US president says prison continues 'to inspire jihadists and extremists around the world' More

Sierra Leone Educates on Safe Ebola Burials

Also, country is improving at rapid response to isolated outbreaks, but health workers need to be even faster, officials say More

Religion Aside, Christmas Gains Popularity in Communist Vietnam

Increasingly wealthy Vietnamese embrace holiday because of its non-religious glamor, commercial appeal More

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
US Decision on Cuba Underscores Divisions Among Miami Cubansi
X
Sharon Behn
December 19, 2014 9:34 PM
For decades, older, more conservative Cubans have been gathering at Café Versailles on the corner of Calle Ocho to eat Cuban food and talk politics. After hearing of President Barack Obama’s decision, a number of them gathered in front of the café with posters to protest. VOA's Sharon Behn reports on the situation.
Video

Video US Decision on Cuba Underscores Divisions Among Miami Cubans

For decades, older, more conservative Cubans have been gathering at Café Versailles on the corner of Calle Ocho to eat Cuban food and talk politics. After hearing of President Barack Obama’s decision, a number of them gathered in front of the café with posters to protest. VOA's Sharon Behn reports on the situation.
Video

Video Three Cities Bid for Future Obama Presidential Library

President Barack Obama still has two years left in his term in office, but the effort to establish his post-presidential library is already underway. The bid for the Obama Presidential Library is down to four locations in three states -- New York, Hawaii, and Illinois. As VOA’s Kane Farabaugh reports, each of them played an important part in the president’s life before he reached the White House.
Video

Video Cuba Deal is Major Victory for Pope’s Diplomatic Initiatives

Pope Francis played a key role in brokering the US-Cuba deal that was made public earlier this week. It is the most stunning success so far in a series of peacemaking efforts by the pontiff. VOA religion reporter Jerome Socolovsky has more.
Video

Video Fears of More Political Gridlock in 2015

2014 proved to be a difficult year politically for President Barack Obama and a very good year for the U.S. Republican Party. Republican gains in the November midterm elections gave them control of the Senate and House of Representatives for the next two years -- setting the stage for more confrontation and gridlock in the final two years of the Obama presidency. VOA National Correspondent Jim Malone has a preview from Washington.
Video

Video Sudan School Becomes Target of Aerial Attacks

The school dropout rate is at an all-time high in Sudan's South Kordofan state because many schools have been destroyed during the three-year civil war between the government and SPLA-N rebel forces. Adam Bailes visited Sudan's Nuba Mountains' region and reports many children are simply too scared to go to school
Video

Video VOA Reporter Tours Devastated Peshawar School

Islamist militants wearing military uniforms and strapped with explosives attacked a military run school Tuesday in the northwestern Pakistani city of Peshawar. At least 141 people were killed in the horrific attack, most of them young students. VOA reporter Ayaz Gul visited the devastated school and attended the funeral of the principal who courageously tried to save her students from the deadly attack.
Video

Video Nigerians Fleeing Boko Haram Languish in Camp Near Capital

In its five-year effort to impose Islamic law in northeastern Nigeria, the Boko Haram extremist group has killed thousands of people and forced hundreds of thousands to flee. Some of those who ran for their lives now live in squalor on the edges of the capital, Abuja. Chris Stein reports for VOA.
Video

Video Aceh Rebuilt Decade After Tsunami, But Scars Remain

On December 26, 2004 there was an earthquake in the Indian Ocean so powerful it caused the Earth’s axis to wobble a few centimeters. Onshore on the island of Sumatra, the resulting tsunami was devastating. A decade later, VOA Correspondent Steve Herman reports from Banda Aceh, Indonesia, where although there is little remaining evidence of the physical devastation, the psychological scars among survivors remain.

All About America

AppleAndroid

More Americas News

Health Minister Named as Haiti's New Interim Prime Minister

Announcement is part of effort to resolve a mounting political crisis over long-delayed elections
More

Kerry: US-Cuba Thaw Will Advance Interests for Both

Secretary of state says 11 million people of Cuba have waited far too long - more than half a century - to 'fulfill their democratic aspirations' and build closer ties with rest of world
More

Cuba's Famed Cigars Get a Foot in Door of US Market

Under new rules to be implemented soon, US will make it easier for some Americans to travel to Cuba and they will be able to return with $100 worth of alcohol, tobacco
More

Tourism, Farm Groups See Bigger Business With Cuba

'We are the closest major food producer that Cuba has,' an American Farm Bureau Federation spokesman notes
More

Castro Lauds US Outreach, Says Cuba to Remain Communist

In speech to lawmakers, Cuba's president says economic reforms will be accelerated, yet changes will be gradual
More

Raul Castro Steps Out of Brother's Shadow With US Deal

Cuban president scores diplomatic triumph, surge in support with this week's deal that ends decades of hostility with United States
More