Nissan halts Smyrna production because of chip shortage

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Nissan North America will suspend production at its Smyrna plant in Tennessee for two weeks from August 16 because of a shortage of semiconductors supplied from Malaysia

Nissan North America will halt production at its factory in Smyrna, Tennessee for two weeks on August 16, the longest closure in the US for any OEM of an equivalent size since the global chip shortage began.

Since last year, semiconductor shortages have caused bottlenecks in automotive production across the world. OEMs have attempted to conserve stocks of microchips for their best-selling models, such as SUVs and pickup trucks. However, even truck plants have been forced to close amid the crisis. In July, GM was forced to halt production at plants in Flint, Michigan, Fort Wayne, Indiana and in Silao, Mexico because of the microchip shortage.

Nissan’s stoppage is notable because of the facility’s size, the length of the closure and profitability of the vehicles it makes. The production lines at Smyrna will be restarted on the week of August 30, according to the company.

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