Autos

Chinese Electric Car Start-Up Nio Shuts Factory for 5 Days Due to Global Chip Shortage

Qilai Shen | Bloomberg | Getty Images
  • Chinese electric car start-up Nio said Friday it is shutting a factory for five days due to the global shortage in semiconductors.
  • Nio said it now expects 19,500 deliveries for the first three months of the year, versus the previously announced forecast of 20,000 to 20,500.

BEIJING — Chinese electric car start-up Nio said Friday it is shutting a factory for five days due to the global shortage in semiconductors.

The production halt beginning March 29 will reduce Nio's first-quarter deliveries by at least 500 vehicles, the company said.

That puts expected deliveries for the first three months of the year at 19,500, versus the previously announced forecast of 20,000 to 20,500.

Even with the reduction, Nio is on track for more car deliveries to start 2021 than rivals Xpeng and Li Auto.

Global automakers have announced production halts due to a shortage in semiconductors. The highly specialized supply chain for chips has suffered from the impact of the coronavirus pandemic and trade tensions between China and the U.S. that began under the Trump administration.

Copyright CNBCs - CNBC
Contact Us