Subaru to cut output at plants in Japan, U.S. because of chip shortage

Japanese automaker Subaru said on Thursday it would slash output this month by “several thousand” vehicles at plants in Japan and the United States, over a global shortage of semiconductors.

A spokesman said Subaru will adjust production at plants in Gunma, Japan, and Indiana, decreasing output by several thousand vehicles at each, without mentioning exactly how many fewer cars will be made.

Subaru will also examine in the future whether there will be more cuts from February, he said.

Global automakers have been hit by a global scramble for semiconductors as demand recovers from the coronavirus crisis.

Subaru’s competitor Nissan Motor said it planned to decrease the production of the Note, a hybrid electric car, at its Oppama Plant in Kanagawa prefecture, Japan, whereas Honda Motor also said on January 8 its domestic output could be affected by a shortage of chips.