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Nissan extends Smyrna shutdown due to COVID at provider

Nissan’s U.S. manufacturing continues to really feel the impact of a COVID-19 outbreak at a microchip provider plant in Malaysia this month.

The Malaysian scenario had already closed the Nissan’s Smyrna, Tenn., plant by means of Aug. 30. However that interruption shall be prolonged by means of Sept. 12, affecting manufacturing of key fashions together with the Nissan Rogue and Pathfinder and Infiniti QX60 crossovers.

As well as, Nissan’s Aguascalientes, Mexico, manufacturing unit shall be idled by means of Sept. 5, which is able to impression the Versa, Kicks and Sentra fashions.

In a memo despatched to sellers late Friday and obtained by Automotive Information, Nissan mentioned it expects U.S. manufacturing to be lower by about 36 p.c in September.

Together with the newly introduced downtime, Nissan is forecast to lose 157,000 models of North American manufacturing this yr, in keeping with AutoForecast Options (AFS).

On Aug. 10, Nissan introduced that Smyrna operations could be idled for 2 weeks due to the disruption on the chip provider. Nissan has not recognized the provider.

Like different automakers, Nissan has had its share of manufacturing line interruptions this yr due to a scarcity in allocations of microchips. However these shortages have largely been the results of demand miscalculations by chipmakers with restricted capability and automakers with unsure 2021 forecasts.

AFS estimates the chip scarcity has resulted within the lack of 6.9 million automobiles from automaker manufacturing plans globally.

Many within the business have remained assured that the chip disaster was slowly ebbing because the COVID-19 pandemic progressively lessened and provide chains obtained again to enterprise.

Nevertheless, a resurgence in COVID-19 infections, together with the unfold of the virus’ delta variant, is elevating new issues for the auto business.

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