Volkswagen cuts production further due to semiconductor shortage

Volkswagen said on Wednesday it would further slash auto production at its main plant located in northern Germany because of a shortage of semiconductors that has hit the industry globally.

Staff producing the Tiguan, Touran, and Seat’s Tarraco models at its Wolfsburg site will work reduced hours, the Volkswagen group said. Production of its bestselling Golf model has already been affected.

Automakers and electronics makers are dealing with a global shortage of chips as consumer demand has bounced back from a decline caused by the coronavirus crisis that has led to manufacturing delays.