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Volkswagen cuts production over semiconductor shortage

By Reuters

Volkswagen has reported it would further cut car production at its main plant in northern Germany due to a shortage of semiconductors that has hit the industry worldwide.

Staff producing the Tiguan, Touran and Seat’s Tarraco models at its Wolfsburg site will work reduced hours, the group said in a statement.

Production of its bestselling Golf model has already been affected.

Automakers and electronics makers are facing a global shortage of chips as consumer demand has bounced back from a slump.

The slump is caused by the coronavirus pandemic that has led to manufacturing delays.

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