The shortage of components again forced Avtovaz to stop the conveyor

According to the press service of the company, three out of five days of downtime will be declared as vacation days, postponed from December. The rest of the days will be paid at 2/3 of the average wage.

“The Lada Izhevsk plant, which uses other components to assemble the Lada Vesta, will continue to operate normally,” TASS notes.

To support the Izhevsk subdivision, some auto components manufacturing subdivisions in Togliatti will work on a special schedule.

Over the past few months, due to an acute shortage of spare parts, the automobile giant has repeatedly forced to stop production. The main reason for the downtime of the automobile conveyor was problems with the supply of electronic components.

During a pandemic, a shortage of microcircuits forced several large car factories around the world to temporarily close at once. General Motors, Toyota Motor and Hyundai Motor faced problems.

Among the reasons for the shortage, experts cite a fire in Japan at a large factory that produced microcircuits, as well as an increase in demand and disruption of production and supply chains during the lockdown. Market participants predict that global component availability issues will persist until 2022.

Earlier, Avtovaz reported that during the period of corporate vacations, the company would not produce cars of the Lada Granta family until August 20. In addition, the production of Lada Niva, Lada Largus, XRAY, Renault Logan and Sandero was limited in August.

Avtovaz is the largest car manufacturer in the Russian market. In the first six months of this year, he increased sales by 42% in annual terms, up to 232.23 thousand cars. In July, 32.01 thousand cars rolled off its conveyors. After the pandemic recession, demand for cars has recovered, despite the cancellation of state support programs. So far, manufacturers cannot saturate it. For some models, the waiting period for pre-ordered cars reaches six months or more. At the same time, the cost of cars in both the primary and secondary markets is growing.