Hyundai, Blaming a Parts Shortage, to Shut Down Some Production

“The company is reviewing various measures to minimize the disruption of its operations, including seeking alternative suppliers in other regions,” a Hyundai spokesman said in an email. The company said suspension schedules would vary by line.

Hyundai and its affiliated automaker, Kia, produced 7.2 million cars last year. Hyundai has a worldwide network of factories, including plants in Russia, Turkey, the Czech Republic and Montgomery, Ala., which can probably make up for lost production in Korea.

But the shutdown of some production at its Korean plants may signal further disruptions at manufacturers that depend on parts from China. The longer that Chinese factories remain shut down, the greater the risk of shortages of key components.

Hyundai sold more than four million vehicles last year, most of them in China and the United States.

Article source: https://www.nytimes.com/2020/02/04/business/hyundai-south-korea-coronavirus.html?emc=rss&partner=rss