East-side engine plant to resume production

Navistar International Corp. will resume production of diesel engines at its International Truck and Engine plants in Indianapolis and Alabama, the company said this morning.

Production had stopped Monday because of a dispute over warranty fees between Navistar and Ford Motor Co., which uses the engines in its heavy-duty pickup trucks.

The dispute had idled 1,600 workers on the city’s east side. A Michigan judge late yesterday issued a temporary order requiring Navistar to resume shipments.