Photo: MINI
Just like the rest of the automotive industry, BMW is struggling with the lack of chips as well, and the company sometimes has no other option than to turn to temporary production shutdowns.
This is exactly what’s happening right now at the Cowley factor where the MINIs are made, with the company announcing that all assembly lines are going offline for one full week.
Nearly 3,5000 workers will be affected, and the downtime is expected to generate a production cut of approximately 5,000 cars. The operations are scheduled to return to normal next week.
Obviously, this isn’t the first time BMW has gone to great lengths to deal with the lack of chips.
The production at the same facility has already been suspended two times last year, while BMW recently started shipping some vehicles in the United States without touch-capable screens. The reason is the same, we know: the lack of semiconductors is making it harder for the German manufacturer to keep the output of its plants untouched and to install all the available equipment in a timely manner.
Needless to say, the entire industry is working around the clock on reducing the disruptions caused by the lack of semiconductors.
What’s worse, however, is that nobody seems to know when exactly the chip inventory could return to pre-2020 levels. This is because the chip shortage itself is strongly linked with the global health crisis, and unless the latter comes to an end, it’s hard to believe foundries across the world would be able to align their production with the demand.
Some of the most optimistic carmakers, including Hyundai, believe the shortage could come to an end this year, but the consensus appears to be that 2023 will be the year to bring things back to normal. Until this happens, however, expect more companies to turn to painful decisions similar to BMW’s.
Nearly 3,5000 workers will be affected, and the downtime is expected to generate a production cut of approximately 5,000 cars. The operations are scheduled to return to normal next week.
Obviously, this isn’t the first time BMW has gone to great lengths to deal with the lack of chips.
The production at the same facility has already been suspended two times last year, while BMW recently started shipping some vehicles in the United States without touch-capable screens. The reason is the same, we know: the lack of semiconductors is making it harder for the German manufacturer to keep the output of its plants untouched and to install all the available equipment in a timely manner.
Needless to say, the entire industry is working around the clock on reducing the disruptions caused by the lack of semiconductors.
What’s worse, however, is that nobody seems to know when exactly the chip inventory could return to pre-2020 levels. This is because the chip shortage itself is strongly linked with the global health crisis, and unless the latter comes to an end, it’s hard to believe foundries across the world would be able to align their production with the demand.
Some of the most optimistic carmakers, including Hyundai, believe the shortage could come to an end this year, but the consensus appears to be that 2023 will be the year to bring things back to normal. Until this happens, however, expect more companies to turn to painful decisions similar to BMW’s.
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