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Baltimore bridge: Ford, Mercedes-Benz, BMW to experience lower sales over cargo rerouting

Baltimore bridge: Ford, Mercedes-Benz, BMW to experience lower sales over cargo rerouting
March 27
21:54 2024

Car manufacturers are preparing for months of lower sales as they reroute shipments away from Baltimore following the collapse of the Francis Scott Key Bridge.

On March 26, the Francis Scott Key Bridge in Baltimore, United States, collapsed after it was hit by a large cargo ship.

About 20 people and several vehicles were said to have fallen into the river, according to the Baltimore City Fire Department, which declared the accident a “mass casualty event”.

The Francis Scott Key Bridge is one of the busiest U.S. ports for car shipments.

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The port of Baltimore handled at least 847,000 vehicles in 2023.

According to Financial Times, two container ships were seen anchored downstream of the collapsed bridge, waiting to enter Baltimore or be redirected to other East Coast ports.

General Motors, Ford Motor, Stellantis, Volkswagen, Mercedes-Benz, and BMW a part of the automakers that use the port.

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Financial Times said some car makers are planning to divert imports and exports of vehicles to other East Coast ports while they assess how the collapse would affect their logistics.

Commenting on the bridge collapse, General Motors said the incident is expected to have “minimal impact” on its operations, as it is looking to reroute vehicles to other ports.

Toyota Motor also said it did not expect a “significant disruption,” but some of its exports could be affected.

On its part, Volkswagen said it did not expect to be affected by the collapse because its receiving facility in the Port of Baltimore is on the eastern side of the bridge, which is still accessible to ships.

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“Together with our transport partners, we continuously review and adapt our supply routes. We have several options available within our flexible supply chain network,” Mercedes Benz said in a statement on Wednesday.

Earlier today, at least six people from a construction crew were announced missing and presumed dead.

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