General Motors (GM) is going to further cut production in North America due to a worldwide shortage of semiconductors.
According to Reuters on the 24th (local time), GM announced that the Missouri plant will be shut down from the 29th to the 12th of next month, and will extend the shutdown period for the Lansing plant in Migan, which is idle from the 15th.
Models affected by this production cut are the mid-sized pickup trucks Chevrolet Colorado and GMC Canyon, and Cadillac’s CT4 and CT5.
GM Davies Banas, a spokesman for the production, did not disclose how much the volume would be reduced by this cut, but said he would try to make up for it by the end of the year.
GM’s move is a step to put a limited number of automotive semiconductors first in profitable models.
Currently, the global automotive industry is struggling with a shortage of semiconductors. This is due to the fierce competition for securing semiconductors due to the surge in demand for the home appliance industry, as the factory stopped operations last year due to the novel coronavirus infection (Corona 19).
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Accordingly, companies such as Ford, Toyota, Volkswagen, and Honda were also found to close their factories or reduce production.
Alyx Partners, a consulting firm, predicted that the global automobile industry’s sales would decrease by $60.6 billion this year due to a shortage of semiconductors.