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Chip Shortage Catches up to 2021 Ram 1500 and 2021 Jeep Grand Cherokee

Ram is being forced to shut down its all-important Ram 1500 plant this week. Jeep is also forced to shut down production of its popular Jeep Grand Cherokee while the company manages its supply of semi-conductor chips.


Ram has been masterful in keeping the assembly lines rolling for its all-important 2021 Ram 1500. Likewise, Jeep has been cranking out its popular 2021 Jeep Grand Cherokee. The brands have been conserving the semi-conductor chips by closing many of their other plants to keep their most profitable lines in production. Unfortunately, the chip shortage has caught up to them, forcing these two important plants to shut down this week.

2021 Ram 1500 a Profit Center

Ram was already scheduled to shut down its Sterling Heights Assembly Plant, next week, for scheduled maintenance. Now, the facility will be closed for both this week and next. The 2021 Ram 1500 has seen tremendous sales growth this year compared to last. In the second quarter, Ram reported a phenomenal 47 percent sales increase over 2020. Ram has been credited for driving up Stellantis’ North American profits more than 30 percent in the second quarter of this year.

Jeep Reported Strong Sales As Well

Jeep Sales were up 19 percent in the second quarter compared to last year. Jeep has kept the Belvidere, Illinois, plant which builds the regular Cherokee closed much of this year as it diverted the precious chips to the more popular and profitable vehicles like the 2021 Jeep Grand Cherokee and the all-new 2021 Jeep Grand Cherokee L. Jefferson North, the plant that builds the Jeep Grand Cherokee, will just be closed this week as far as we know.

While closing the two plants for the week will not significantly harm the company, it is a sign that the chip shortage continues at critical levels. Both Jeep and Ram have taken great pains to keep their most important assembly lines humming. Even great planning can’t totally solve the worldwide problem.

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