Photo = AP
Global automakers are disrupting production because they have not been properly supplied with semiconductors, which are key components. This is because semiconductor manufacturers first supply semiconductors to information technology (IT) companies that produce smartphones, PCs, and game devices, while automakers have been pushed down the ranks.
According to the Financial Times (FT) on the 10th, Germany’s Volkswagen predicted that in the first quarter of this year, automobile production in global plants such as Europe, North America, and China will decrease by 100,000 units. This is because component manufacturers Continental and Bosch are having a hard time getting semiconductors from suppliers.
Continental explained, “Automotive factories that had stopped due to the novel coronavirus infection (Corona 19) have recently rapidly increased production and are experiencing supply shortages,” he said. “We are not catching up with the unexpected surge in demand from the industry.”
Fiat Chrysler (FCA) and Ford are also affected by the shortage of semiconductors. FCA has decided to temporarily suspend the operation of its Ontario plant in Canada, which produces the high-end sedan’Chrysler 300′, and to delay the restart of its plant in Mexico. In addition, Ford stopped the Kentucky plant in the United States for a week.
The Japanese automobile industry is also spreading production cuts due to shortage of semiconductors. Toyota Motor Corp. announced on the 8th that it would reduce the production of the pickup truck’Tundra’ at its US plant due to the lack of semiconductors. In order to minimize the impact of production cuts on profits, it plans to first produce popular models such as’RAV’, a sports utility vehicle (SUV).
Honda decided to cut production of the small sedan’Pit’. This month, it plans to reduce its production in China by about 30,000 units. It is more than 20% of the monthly output of the Chinese factory (about 180,000 units). The Chinese market is the key market, accounting for 30% of Honda’s global sales. There is also a prospect that the scale of production cuts will increase to 50,000 units.
Nissan also decided to cut production of the small sedan’Note’ from this month. Initially, it was planned to produce 15,000 units in January, but plans to reduce it by about 5,000 units to produce only 10,000 units. It is observed that the scale of production cuts may increase further from next month. The Note is Nissan’s flagship car, accounting for 20% of its sales in Japan.
As Japanese automakers simultaneously disrupt production, the performance is expected to suffer. Toyota planned to produce 2.27 million units in the first quarter of this year, an increase of 15% from the same period last year, but it is expected to lower its production target, Nippon Geizai Shinmun said.
Reporter Ahn Jung-rak/Tokyo = correspondent Jung Young-hyo [email protected]
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