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Nissan plans Mexico work stoppages in October due to chip shortage By Reuters

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© Reuters. A basic view exhibits a part of the Nissan manufacturing advanced in Aguascalientes, Mexico August 29, 2018. Image taken August 29, 2018. REUTERS/Liberto Urena/Information

MEXICO CITY (Reuters) – Japanese automaker Nissan (OTC:) will perform momentary work stoppages at two Mexican crops for a number of days in October due to manufacturing changes wanted to handle a scarcity of semiconductor chips, its Mexico unit stated on Wednesday.

Nissan will halt operations at its plant 2 within the central state of Aguascalientes for 11 days in October, and its CIVAC plant in Morelos state shall be halted for 8 days, the carmaker stated in emailed feedback to Reuters.

The stoppages come as automotive manufacturing in Brazil and Mexico, Latin America’s two largest economies, plunged in September, dragged down by an industry-wide semiconductor chip scarcity and railroad blockades in Mexico.

“We proceed to make changes to our manufacturing course of to attenuate the impression this has had on the automotive {industry} domestically and globally,” stated Nissan, including it was working to get better manufacturing and make good on supply of autos to distributors and clients.

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