Chip shortage leads JLR to cut UK factory output

On November 26, the BBC reported that carmaker Jaguar Land Rover (JLR) is cutting production at two of its factories in the UK until spring. The move is expected to affect production of Jaguar's F-Pace and Land Rover's Discovery Sport, as new cars can't get enough computer chips.

Jaguar Land Rover said in a statement that it will continue to actively manage the operating model of its manufacturing plants as the industry experiences ongoing disruptions to the global semiconductor supply chain. It added, "Continued improvement in performance is expected in the second half of the year as new agreements with semiconductor partners take effect, enabling us to build and deliver additional vehicles to our customers."

Despite an increase in October, UK car production remains well below pre-pandemic levels, figures from the Society of Motor Manufacturers and Traders (SMMT) show. The industry produced 69,524 vehicles in October, up 7.4 percent from a year earlier.

“There are real shortages in the supply chain, most notably in semiconductors, which has resulted in very erratic production levels,” SMMT chief executive Mike Hawes said.