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Car industry hit by chip shortages

Honda is cutting back vehicle production by 4000 units this month, mainly of the Fit subcompact car, because it can’t get ICs.

“The massively restricted supply situation for semiconductors is causing considerable disruptions in global vehicle production across all manufacturers,” says VW, “due to the Covid-19 pandemic and the resulting decline in sales in the automotive industry, leading semiconductor manufacturers switched their production to other customer industries, such as consumer electronics. In the meantime, however, the car markets have recovered significantly, especially in China. This exacerbates the current situation and the industry — and also the Volkswagen Group — lacks appropriate electronic components.”

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