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Second Pentastar plant running

by David Zatz on

The second Pentastar plant, in Saltillo, Mexico, is up and running, according to internal sources. The second plant may be putting some strain on the available resources, especially as suppliers to Mexico are reportedly not as high quality as those serving Trenton (Michigan), resulting in rejections and shortages. As a result, parts are allegedly being diverted from Trenton to Saltillo; and there are shortages of blocks with two plants now running. On the lighter side, the key number for customers and car sales is the number of engines being produced (and the overall quality of the engines), and having two factories on line may prevent shortfalls.

Initial supply problems are normal when starting up new engines; however, the issues in this case are exacerbated by the importance of the engine. The strong emphasis on quality does mean that supplier issues are unlikely to affect customers, as bad parts are being rejected rather than fixed or “used anyway.”

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