Skoda to resume vehicle production after two-week outage due to chip crisis
Volkswagen's Skoda Auto will resume production on Sunday at most of its production lines after a two-week outage caused by a shortage of semiconductor chips, a spokesperson said.
Skoda, the Czech Republic's biggest exporter, had said on October 7 that it would "significantly reduce or even halt" production from October 18 until the end of the year because of the global shortage of chips hobbling the automotive sector.
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"I can confirm that most of Skoda Auto's production lines will resume work after a two-week outage tonight, starting with the night shift at 10:00 p.m.," Kamila Biddle said, confirming an earlier report by CTK news agency.
The Czech Auto Industry Association has said Czech carmakers will produce quarter of a million fewer cars than expected this year because of the global microchip shortage, costing the automotive sector 200 billion crowns ($9 billion) in sales.
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The car sector is the backbone of the Czech economy, employing 180,000 workers and accounting for a quarter of industrial output.
The Czech economy expanded slower than expected in the third quarter, showing a recovery losing steam as external demand declined and the global supply crunch hit the car sector.
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