General Motors Extends Plant Closures On Chip Shortage

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General Motors said Wednesday it will again extend closures of three plants due to the global shortage of semiconductors and announced an additional plant that would be affected later this spring.

Suspensions at plants in Kansas in the United States and in the Canadian province of Ontario will now run through "at least mid-April," GM said in a press release. The closure of a plant in San Luis Potosi, Mexico will run through the end of March, the company added.

GM had previously said the plants would be off-line at least through mid-March.

US President Joe Biden last month ordered a review of critical supplies following a shortage of semiconductor chips US President Joe Biden last month ordered a review of critical supplies following a shortage of semiconductor chips  GETTY IMAGES NORTH AMERICA / POOL

On Wednesday, GM said it also expects to take downtime at a plant in Gravatai, Brazil in April and May.

The company is utilizing its available semiconductor supply for trucks and other popular vehicles and said output of these vehicles has not been affected by the supply shortfall.

"We continue to work closely with our supply base to find solutions for our suppliers' semiconductor requirements and to mitigate impacts on GM," the company said. "Our intent is to make up as much production lost at these plants as possible."

Last week, President Joe Biden signed an executive order to commission a review of critical US supply chains in the wake of the semiconductor shortage, which stems in part from outsized demand for chips for personal electronics during the coronavirus pandemic.

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