Vauxhall Motors still suffering from chip shortage

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Vauxhall Motors still suffering from chip shortage
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Vauxhall's boss said the global shortage of computer chips is still having a significant impact.

Modern vehicles can have hundreds of chips on board. They are used in the engine controls, entertainment systems, safety mechanisms, instrument clusters and so on, so the shortage has forced manufacturers around the world to curtail production.

"It has obviously suppressed our ability to manufacture," Mr Wilcox told the BBC, speaking at the Commercial Vehicle Show in Birmingham.Vauxhall Motors' managing director Paul Wilcox says carmakers rely heavily on "just-in-time" delivery systems He added that parent company Stellantis' decision to invest £100m on building a new range of electric vans at Vauxhall's troubled plant in Ellesmere Port was "massively important" for the factory and its workforce.

This eliminates the need for expensive warehousing, but means that if parts do not appear when they are required, factories can grind to a halt. But Mr Wilcox said he saw no need for a major overhaul of supply chains as a result of the current crisis.

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