Škoda Auto Stops Production Due To Chip Shortage

The Mladá Boleslav-based carmaker Škoda Auto stopped production on Monday for two weeks, according to Czech media outlet Novinky.cz. The iconic carmaker has been dealing with the shortage of semiconductor chips. Photo: Škoda archive.

Czech Rep., Oct 18 (BD) – “Due to the lack of chips, Škoda will produce over 250,000 fewer cars than planned this year, which will mean a loss of CZK 200 billion for the company and its suppliers. In three quarters, 831,653 passenger cars have been produced,” said the manufacturer.

The production problems are expected to persist, and according to some production will not resume before the end of this year. Škoda employees are currently at home and receiving 80% of their salary. 

Škoda has produced tens of thousands of cars which lack chips and are waiting for completion. From Monday, only the Kvasiny facility continues operation. The chip shortage has been a problem for a large number of industries worldwide.

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