Skoda Auto Started a Two-Week Outage Today, Global Chip Shortage to Blame

Škoda Auto, the company that builds Škoda vehicles, will take a two-week production halt at its vehicle manufacturing facilities in the Czech Republic starting October 18, 2021. During those two weeks, Škoda will still have one shift operational to complete as many as 10,000 vehicles that await delivery.
Škoda Fabia production in Mladá Boleslav 9 photos
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Those 10,000 units are incomplete because of the global chip shortage, as well as other components that have affected their delivery schedule. The Czech marque wants to deliver those vehicles to customers as soon as possible.

Previously, Škoda Auto representatives explained that they have been struggling with a "big shortage of critical components." At the time, company officials stated that "not even Škoda Auto is able to avoid this global crisis," as Tomas Kotera, the company's spokesperson, explained.

Meanwhile, Škoda will reportedly have to limit its production up to the end of 2021, as Reuters notes. Due to those production curbs, which are currently the biggest in Central Europe, overall car production should reach the level of 2020 in the Czech Republic. This will happen due to the fact that the country also hosts a Toyota and a Hyundai factory. The former has faced outages as well, but not as severe as Škoda's.

Analysts fear that these shortages will have a negative impact on the country's industrial sector, which relies on vehicle production, since the company that builds Škoda automobiles currently hires about 35,000 people in the Czech Republic. Moreover, this figure does not include suppliers and all supporting industries around the company's factories in the country.

While based in Mladá Boleslav, where the marque has its museum and a factory, Škoda Auto also has two other factories in the Czech Republic. One of them is the Kvasiny, while the other plant is a facility that currently only builds seven-speed DSG transmissions, located in Vrchlabí.

On a global scale, Škoda Auto employs 180,000 people, and it is responsible for a quarter of the Czech Republic's industrial output. Meanwhile, customers have to wait for months for the arrival of their new cars, which is why the company wants to get the backlog of unfinished vehicles cleared as soon as possible.

Editor's note: Photo gallery shows various images from Škoda Auto factories for illustration purposes.


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