Mini suspends production again due to chip shortage

Mini has temporarily suspended car production at its Oxford factory as a result of the global shortage of semiconductor chips.

It is the latest factory shutdown to be caused by the shortage which has hampered the auto industry worldwide over the past year.

Production at the Mini plant, in the Cowley area of Oxford, was previously suspended on a number of occasions between April and July last year as a result of the same issue.

Owner BMW said on Wednesday: "As a result of the global semiconductor shortage, an issue that has affected the entire automotive industry for the last year, Plant Oxford is making some short-term adjustments to its production schedule."

It said production was being stood down for all five days of this week.

"We are monitoring the situation very closely and are in constant communication with our associates and suppliers," the carmaker said.

Elsewhere in the UK, Jaguar Land Rover has also seen production hit by the shortage of chips, while the world's number one carmaker Toyota recently slashed its production targets as a result of the issue.

The problem has piled pressure on a car industry already reeling from the impact of the pandemic.

Industry figures published last month showed annual vehicle production in the UK plunged to its lowest level since 1956 last year, largely as a result of the shortage.

Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders, predicted then that the chip shortage would continue to make life "tough" in the first half of 2022 but should begin to ease.

A lack of chips, thanks to pandemic-related shutdowns in the Far East, meant that many factories had to slow down or even stop production last year.