Tesla's China output halted for days in August on chip shortage

02 September 2021 - 09:59 By Reuters
An aerial view of Tesla Shanghai Gigafactory in Shanghai, China.
An aerial view of Tesla Shanghai Gigafactory in Shanghai, China.
Image: Xiaolu Chu/Getty Images

Tesla Inc temporarily halted some operations at its Shanghai factory last month as the global shortage of semiconductors hit the electric car maker, Bloomberg News reported on Thursday, citing people familiar with the matter.

Part of a production line at the China plant was halted for about four days in August because of a lack of key chips, the report said.

Shortages with the availability of electronic control units caused output delays mainly for Tesla's Model Y sports utility vehicle crossover, according to the report.

Production at the Chinese factory is now back to normal, Bloomberg said.

Tesla did not immediately respond to a Reuters query on the report.

Last month, world's largest automaker Toyota Motor Corp said it would slash global production for September by 40% from its previous plan following car makers worldwide in cutting production due to the months-long chip shortage.


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