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| Chip shortage disrupts General Motors factories |
General Motors, the parent company of Chevrolet, GMC, Cadillac and Buick, said it has temporarily suspended production at its six North American plants due to a global chip shortage.
General Motors is the latest major automaker to suffer a severe shortage of computer chips.
The company's four plants in the United States were affected, and when the company increased its supply of chips, the other four plants in Mexico and Canada remained idle for several weeks.
The suspension affected the company's most profitable cars, including pickup trucks and SUVs.
"During the shutdown, we will be repairing and shipping incomplete vehicles from several affected plants to dealerships to meet the high customer demand for our products," a company spokesperson said.
"Although the situation is still very complex and changing," he added. However, we still believe that our team can continue to find innovative solutions to reduce the impact on vehicles with high demand and limited capacity.
Affected vehicles include Chevy Silverado, Cheyenne, Traverse, Equinox, Express, GMC Acadia, Sierra, Savanna, Terrain, Canyon, Buick Enclave, Cadillac XT5, and Cadillac XT6.
For the second time, the company has to announce a temporary closure of the plant due to the lack of chips.
The automaker stopped working at several factories for two weeks in April.
Chip shortage disrupts General Motors factories
General Motors is not only affected by the global scarcity of semiconductor chips. It shows no signs of improvement.
In response, almost all automakers were forced to cut production and temporarily close factories. Including Volkswagen, Ford and Toyota.
Production of Tesla's cars is much lower than most of its competitors, and it has also been affected. He said he would have to rewrite his car software to support replacement chips.
Tesla CEO Elon Musk said the global chip shortage remains very serious.
GM executives did not say how much production they would likely lose due to the lack of chips. But the CEO said the team is working hard to convert cars into pickup trucks, large SUVs and new electric cars.
The company confirmed that this year's profit gap due to lost production is between $1.5 and $2.