Automotive: out of components, Stellantis shut down five factories

Europe has become in 2020 the world's leading market for electric cars.


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2 min

The shortage of electronic components is forcing the European giant Stellantis, born from the merger between PSA and Fiat, to suspend production at five of its factories on the American continent: two in the United States, two in Canada and one in Mexico.


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The European automobile giant Stellantis had already slowed down, a week ago, the production of Peugeot factories in Sochaux.


the problem is global

: all manufacturers are now affected by this shortage.

Since the start of the health crisis,

demand for Asian chips

has been on the rise, particularly for consumer electronics.

From Toyota to Ford, via Stellantis or Volskwagen,

the automotive sector is paying the price

, for lack of having built up stocks.

Car manufacturers adapt or adjust their production rates,"

explains Bertrand Rakoto, analyst at the American firm Ducker.

 We are also seeing some manufacturers like Stellantis choosing to continue producing vehicles up to the assembly level in the chain where components are needed.

So that makes semi-finished vehicles.

There are other builders who are completely shutting down.

This is also the case with Stellantis, which ceases production of certain vehicles for a few days.

Or, we will target essential vehicles for sales.


At least another year of shortage

The shortage is likely to last for at least another year and the global auto industry is already seeing losses mounting.

It is estimated today that we are heading for a loss of two million vehicles over the year 2021,"

continues the analyst.

It may even be more because we measure the extent of the shortage a little more every week.

It is not just a problem related to the automotive industry, it is a problem that is becoming global. 


A problem that raises the concern of the unions, who fear job losses.


See also: Automotive: Stellantis, the union of the PSA and Fiat-Chrysler groups


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