Chip shortage! Audi cuts production by 30%

The impact of the chip shortage continues.

Recently, according to media reports, FAW-Volkswagen Audi plans to reduce production by 30% in April due to chip shortage, involving main models such as A4L, A6L, and Q5L. Based on its sales in March, it is expected that the production reduction in April will exceed 20,000 units.

As of now, FAW-Volkswagen Audi has not responded to this matter, but according to insiders, it has received notice to sort out orders and adjust inventory structure to cope with the impact of chip shortages.

It is reported that the main chips that caused the production cuts of FAW-Volkswagen Audi mainly come from door controllers, gateway controllers, central control displays, body stability control systems (ESP), etc.

Among them, the gateway controller may face a 6-week production suspension. If the shortage of gateway controllers is not resolved, Audi's production cuts will continue until June this year.

It is reported that due to the reduction in supply, the terminal discounts of A4L, A6L and Q5L have been reduced. For example, the discount of Audi A6L was close to 18% at one time, but it has recently adjusted back to around 14%-15%.

Since the chip shortage last year, many automakers have announced production suspensions, including Audi, where more than 10,000 employees are idle.

Stephan Wöllenstein, CEO of Audi's parent company Volkswagen Group in the Chinese market, has publicly stated that the impact of the chip shortage will continue into the first quarter of this year. During this period, Volkswagen Group headquarters and suppliers around the world are allocating resources and taking various countermeasures.

However, judging from the current situation, some factories of many automakers such as Hyundai, Nissan, and General Motors began to suspend production again in April.