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Skoda Auto began a two-week outage on Monday due to a global scarcity of semiconductors and other components, according to the Volkswagen-owned company.
Skoda plans to finish 10,000 unfinished cars during the outage, which will leave only one production line operational, according to a spokesman.
“Skoda Auto has been struggling with a big shortage of critical components, which has forced it to limit production significantly in the past weeks,” spokesman Tomas Kotera said.
Skoda, the Czech Republic’s largest exporter, announced on Oct. 7 that it will “seriously decrease or perhaps cease” production from Oct. 18 until the end of the year due to a global chip shortage that is causing havoc in the automobile industry.
The Czech Auto Industry Association announced on Sunday that due to a global microprocessor shortage, Czech carmakers will build a quarter-million fewer vehicles than projected this year, costing the automobile industry 200 billion crowns ($9.14 billion) in sales.
The automobile industry is the backbone of the Czech economy, employing 180,000 people and accounting for one-quarter of total industrial output.
Story by : Norvisi Mawunyegah