Reuters: Mitsubishi said chip shortages could continue to affect Mexican auto production in the first half of the year

According to Reuters, the head of Japan's Mitsubishi Motors in Mexico recently said that due to semiconductor shortages and the impact of COVID-19, Mexican car production may slow down in the first half of 2022.

Source: Reuters

Global semiconductor shortages have prompted mexico and other North American manufacturing centers to implement rolling production shutdowns, leading to slower production.

In an interview with Mexican business newspaper El Financiero, Jorge Vallejo, president and CEO of Mitsubishi Motors Mexico, said: "I think we will still (see) the impact at least in the first six months of this year." ”

Affected by chip shortages, Mexican automobile production fell by 2% year-on-year in 2021, the fourth consecutive year of decline.

Official figures show that the decline was particularly pronounced in the second half of the year, which fell by 16.51% in December alone.

Vallejo said Mitsubishi will perform better than its competitors in the semiconductor space in the coming months due to high demand in Mexico and large shipments from its Japanese parent company.

In previous interviews, Vallejo had said that Mitsubishi expected shortages before the 2020 COVID-19 pandemic hit Mexico and began stockpiling supplies.

The Mexican Association of Automobile Manufacturers (AMIA) said in December that Mexican car production could not reach pre-COVID-19 levels until the end of 2023 or 2024.

(Proofreading/Holly)