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October 1, 2021

GM Korea plant closures due to chip shortage, retooling

Chip shortage prompts a two week closure.

By Graeme Roberts

GM Korea Company announced it would suspend operations at one of its three plants for two weeks in October due to the global shortage of semiconductors.

General Motors’ South Korean unit said it would halt production at its Incheon plant, which produces the Trailblazer SUV,  between 1 and 15 October due to the parts shortage.

The automaker also confirmed its Bupyeong plant, which produces the Trax compact SUV and the Malibu midsize sedan, operated at just half of its normal capacity last month and this will continue in October because of the shortages.

The company’s Changwon plant, which produces the Spark minicar, had been closed since the middle of September for retooling to accommodate production of a new crossover utility vehicle from the end of 2021 and the closure will continue in October.

In the first eight months of the year, the company’s global sales declined by close to 17% to 190,614 units from 228,415 units previously.

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