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Mazda Adjusts Production Targets Due to Supply Chain Issues

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Mazda ended the 2020 model year on a high note, recording its best December performance in its history. But what could have been a great momentum starter for the automaker has turned out to be a problem instead.

The new year is off to a bad start for the Japanese manufacturer as it was forced to cut its global production by as many as 34,000 units due to a supply problem. More specifically, Mazda said it has run out of computer chips. The problem has already affected domestic sales of various models such as the CX-5 and the Mazda 3 sedan and now, it’s likely going to become a bigger concern for the brand. It is likely that the chip shortage can be traced back to sanctions imposed by the United States on some suppliers in China.

Mazda’s domestic assembly lines are the first to be affected by the production cut, with the high-selling CX-5 getting trimmed by 4,000 units this February and up to 6,000 units in March. The company’s production lines in China and Mexico are also expected to cut their initial target output due to semiconductor shortage, which has been plaguing automakers for a while now.

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Mazda did not reveal the exact targets for its domestic and global markets, but it said that the current situation changes daily.

“We are expecting a global impact on our output in February, but we continue to do our best to minimize the impact,” a spokesperson for Mazda said.

Mazda did not reveal the exact targets for its domestic and global markets, but it said that the current situation changes daily. Aside from Mazda, Toyota, Fiat Chrysler, Ford, and Nissan also announced cuts to their respective productions due to the shortage.

In the US, at least 15 senators have urged the White House to address the supply issues concerning semiconductors.

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