Four auto companies, including Ford Nissan, announced that they would cut production in October.

According to foreign media reports, due to the shortage of chips, Ford, Skoda, Nissan and Volkswagen announced plans to cut production. Among them, Ford will suspend production at a Mexican plant from October 11 to 12; Skoda Czech plant will significantly reduce production or even stop production from October 18 to the end of this year; Nissan two Mexican plants will stop production for 11 days and 8 days respectively in October; Volkswagen will suspend production at a Mexican plant from October 6 to 15. In response to the chip shortage, the United States and Mexico agreed to set up a supply chain working group for semiconductor manufacturers to ensure the normal production of cars.

Ford

On Oct. 7, the union at Ford's Emosio (Hermosillo) plant in Mexico said it would suspend production from October 11 to 12 because of a shortage of parts. The union also said workers would receive 75 per cent of their wages within two days of the shutdown.

Ford's Emosio plant mainly produces Bronco SUV, but Ford did not specify which parts were in short supply. Ford did not immediately respond to a request for comment.

In early October, Ford said it would suspend production at its (Flat Rock) plant in Pingyan, Michigan, and at some plants in (Kansas City), Kansas City.

Skoda

Due to the shortage of chips, Skoda, the largest car exporter in the Czech Republic, will "significantly reduce production or even stop production" from October 18, and the production reduction and shutdown time will even be extended to the end of this year.

This is the largest production restriction that CEIBS has ever faced. Economists say this will cause the Czech Republic to lower its economic growth forecast for this year.

Skoda has produced tens of thousands of cars that lack chips. Dealers say it takes months for new cars to be delivered. Skoda spokesman Tomas Kotera said the company hopes to deliver the nearly completed car to customers as soon as possible.

The Czech Automobile Industry Association ((Czech Automotive Industry Association)) said that due to the suspension of Skoda, total Czech car production this year should be equal to 1.15 million in 2020. Previously, the association expected to produce 1.3 million cars this year.

Nissan

On Oct. 6, the Mexican subsidiary of Japanese carmaker Nissan said it had adjusted its production plans and planned to suspend production at two Mexican plants in October in response to a shortage of semiconductor chips and a rail blockade. Among them, the No.2 plant in (Aguascalientes), Aguascaliente, will stop production for 11 days in October, and the CIVAC plant in (Morelos), Morelos, will also stop production for eight days.

"We will continue to adjust our production processes in an effort to minimise the impact of this cut on the local and global auto industry," Nissan said. " The company added that it was working to resume production and deliver the car to distributors and customers as soon as possible.

The public

On October 5th the union of Volkswagen's Mexican subsidiary said it would suspend production at a plant in (Puebla), Puebla, from October 6 to 15. The factory mainly produces the popular Jetta (Jetta). Volkswagen's Mexican subsidiary did not immediately respond to a request for comment.

Carmakers such as GM, Volkswagen and Ford have suspended production at several plants this year. In early September, the United States and Mexico agreed to set up a supply chain working group for semiconductor manufacturers to promote normal production and reduce the impact on production caused by chip shortages in the region.