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Stellantis to slow work at Italy’s Melfi plant as chips run short -Breaking

by Mike Robinson

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© Reuters. Stellantis’ logo is visible on the building of a Velizy-Villacoublay company near Paris, France. February 1, 2022. REUTERS/Gonzalo Fuentes

MILAN, (Reuters) – A worsening of microchip supply conditions triggered Russia’s invasion Ukraine will cause carmaker Stellantis in Italy to stop operations next month at its Melfi factory in Italy, trade unions stated on Tuesday.

The Ukraine is the main exporter of neon gases, which is required to make scarce automobile microchips. However, Moscow’s invasion is also disrupting transportation routes.

Metalworker unions made a statement jointly after meeting with the company.

According to unions, this will result in approximately 1,500 employees being furloughed each day starting April 4.

The company refused to comment.

Stellantis vehicles include the Compass and Renegade Jeep models at its Melfi facility in southern Italy. This week, Stellantis resumed production after a 10-day stoppage that affected over 7,000 employees. The action was taken amid an international chip shortage, and protests by truck drivers.

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