Swedish automotive producer Volvo Cars has decided to put production on pause at its plant in Gothenburg, Sweden due to the global semiconductor chip shortage.
According to media reports on Aug 11, the assembly line is to be halted in the evening. The company says that it will restart production as soon as mid-August. Output also suffered a week’s downtime at its Belgian plant in Ghent last month due to the same issue.
During January-July of this year, Volvo sold 437,640 cars globally, up 31.7pc from the same period last year. In July itself, sales fell 8.7pc on an annual basis to 56,883 cars. The company said that 25pc of all cars sold this year have been part of its Recharge (electric vehicles) line-up. In Europe, this division made up for 43pc of all sales.