Fisker Karma Production Shutdown Now Exceeds 6 Months

4 years ago by Eric Loveday 4

Production halted for 6-plus months. Can Fisker survive?

Fisker Automotive’s lengthy production shutdown now reportedly exceeds six months, but the automaker doesn’t seem worried.

What’s in the past is in the past, so we won’t discuss recalls, floods, fires or poor reviews here.   Rather, we’ll focus on Fisker’s half-year-long shutdown.   According to the automaker, the shutdown is due to A123 System’s complex bankruptcy issues and contract problems with the Karma’s production team at Valmet Automotive.

It now seems Fisker is looking to renegotiate terms of its agreement with Valmet, as well as to ink out some sort of deal with Wanxiang, current owner of A123 Systems.  This is tricky business and too complex for us non-business types to accurately convey, so we’ll turn it over to Fisker spokesman Roger Ormisher, who had this to say in response to an inquiry from AutoblogGreen:

Valmet traditionally shuts down for Scandinavian summer break from mid July to mid August. When they returned, our new management team wanted to renegotiate the contract with them and during this period, A123 started to enter bankruptcy. We took the prudent decision to conserve our battery stock and we already have sufficient supply of Karmas through Q1 of this year. By that time we hope to have renegotiated our battery supply with A123’s new owners Wanxiang.”

Obviously, the bankruptcy filing by A123 Systems has impacted Fisker's ability to continue with production of the Karma.

So, Fisker apparently has battery packs to last for roughly two more months, but with vehicles not currently rolling off the Valmet line, then what’s the use?

It’s believed that production of the Fisker Karma now exceeds 2,700 units, with 2,000-plus already sold and a few hundred available to purchase today.  When that limited supply vanishes, Fisker might be without a single vehicle to sell.

via AutoblogGreen

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4 responses to "Fisker Karma Production Shutdown Now Exceeds 6 Months"

  1. Schmeltz says:

    Yeah…why be worried??? (pounds head on desk)

  2. TAP says:

    Fisker is probably dead, they just won’t admit it yet.

    1. Schmeltz says:

      It’s a shame really. I like the Atlantic concept, maybe because it is so similar in philosophy to a Volt. But not making cars, not selling cars, numerous troubling news…

      Not good.

  3. Josh says:

    Production isn’t the only thing that is going to be shutdown at Fisker…