The company slowed production in the first half of the year, then unusually opened factories in August to make up for the shortfall, but was eventually forced to idle some part of its operations in late August.
see photosThe company slowed production in the first half of the year.
Volkswagen’s Spanish unit SEAT plans to expand suspension partial car assembly at its plants near Barcelona by 2022, due to global semiconductor supply constraints, the company said in a statement.
“The decline in the supply of semiconductors now requires reorganization, planning and adoption of new labor protocols,” the seat said, adding that it called on local unions to cancel some working shifts between September 27 and June 30, 2022. Have started talks with him on a furlough plan.
The disruption in chip supply comes as demand for the SEAT and CUPRA brands has returned to pre-pandemic levels, said Javier Ros, the company’s vice president for human resources.
Automakers ranging from US conglomerate General Motors to India’s Mahindra, Germany’s Daimler and Japan’s Toyota have slashed production and sales estimates due to short supply of chips.
The company slowed production in the first half of the year, then unusually opened factories in August to make up for the shortfall, but was eventually forced to idle some part of its operations in late August.
Carmakers around the world have been forced to slash production in recent months due to chip shortages, pandemic-related supply shocks, lockdowns in major production centers and high demand in the consumer electronics industry.
Automakers ranging from US conglomerate General Motors to India’s Mahindra, Germany’s Daimler and Japan’s Toyota have slashed production and sales estimates due to short supply of chips.
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Volkswagen said last month that it expects the situation to improve by the end of this year and aims to cover the production shortfall in the second half as far as possible, but that the shortage of chips is not waning.
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