GM to Temporarily Idle Plants in North America due to Chip Shortage

The pandemic-related chip shortage has forced General Motors to temporarily halt production of nearly all of their plants in the US this month, according to The Detroit Free Press. This includes the assembly lines at GM’s Detroit area plants, which are responsible for making 80% of GM cars sold in North America. The delays are coming amidst a nationwide pattern related to the recent pandemic that is pushing up prices for parts and materials across various industries including GM’s own suppliers. The shortage will get worse where inventory is low, so production may get shelved completely if it doesn’t get resolved soon.

The pandemic-related chip shortage has caused a series of delays for General Motors. The company’s Detroit area plants, which make 80% of GM cars sold in North America, have been suspending production since last month. During a press conference on Friday, General Motors spokeswoman Sharon Basel said the delays were necessary “to build an inventory of critical components critical to the manufacture of our vehicles.”

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