Volvo faced a global problem

Swedish Volvo automaker, belonging to the Chinese automotive company Geely, faced a global problem – the global shortage of semiconductors hit the company’s sales, reports Reuters.

In September 2021, Volvo sales fell 30.2 percent compared to the same period last year against the background of the global chip deficit. The global sales of the company decreased to 47.23 thousand cars in September. At the same time, in Europe, they decreased by 41.5 percent, and in the USA – nine percent.

in September Volvo warned that sales in the second half of 2021 can be reduced compared to the same period of 2020. The reason was the decrease in production volumes due to lack of materials. “The decline was associated with the lack of components. It affected the production, although it increased again at the end of September,” said Volvo statement. At the same time, the company claims that the demand for its products remains high.

Analysts Economist Intelligence Unit (EIU) called the world car industry the most victims from problems with deliveries during the coronavirus pandemic. Especially strongly affected it the lack of semiconductors, which forced some manufacturers to reduce production and sales. Volkswagen lost 14 percent of sales in August, Stellantis – 29 percent, RENAULT – 23 percent. Daimler and BMW lost 38 and 18 percent, respectively.

/Media reports.