Volkswagen cuts production further over semiconductor shortage

People walk past an ID. Store X showroom of SAIC Volkswagen in Chengdu

HAMBURG (Reuters) – Volkswagen said on Wednesday it would further cut car production at its main plant in northern Germany due to a shortage of semiconductors that has hit the industry worldwide.

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

Automakers and electronics makers are facing a global shortage of chips as consumer demand has bounced back from a slump caused by the coronavirus pandemic that has led to manufacturing delays.

(Reporting by Jan Schwartz; writing by Thomas Seythal; Editing by Madeline Chambers)