Sales fell by 30% in September result of the chip crisis, VOLVO

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Monthly sales of Geely-owned Volvo Car Group decreased 30.2 percent year on year in September, dragged down by a global component shortage, the Sweden-based automaker said on Monday. Last month, the business warned that sales volumes in the second half of 2021 could fall year on year owing to production restrictions due to material shortages.

“The decline was related to a shortage of components. This affected production although it picked up again late in the month,” Volvo Cars said in a statement, adding demand for its products remained strong.

Global sales at the company, which is considering listing on the Nasdaq Stockholm stock exchange this year, plummeted to 47,223 vehicles in September, with sales in Europe falling 41.5 percent and sales in the United States down 9 percent. Over the last year, a global chip scarcity has caused significant delays in manufacturing operations and pushed numerous automakers to reduce output.

Last month, sources told Reuters that China’s Geely Holding was in advanced talks with banks about listing Volvo Cars in the next weeks, with a valuation of around $20 billion.