The global shortage of chips has a multiplier effect.
A production stoppage is a serious problem, especially when it comes to a top-selling carmaker model. This is exactly what Bow Tie is experiencing with the Chevy Emblem, which is the second-best-selling vehicle in the company’s lineup after the Silverado. It also ranks seventh in the US ‘s top-selling vehicles, just behind Toyota Camry.
A report by Automotive News states that General Motors had to close its Ingersoll plant, Ontario, due to a shortage of chips in connection to the ongoing semiconductor crisis.
Unifor Local 88 represents 1,900 hourly workers at the GM CAMI Assembly plant. Jennifer Wright, spokesperson for GM Canada, stated that employees were notified of the shutdown. It will continue until June 28th or at most two months. The company has offered to mitigate the immediate impact of the situation.
Although the Equinox’s production may be halted, it might not impact its sales in the US. However, we would be remiss to not mention that the crossover is also manufactured in GM’s Mexican plants at Ramos Arizpe, and San Luis Potosi.
Similar to the situation in the US, Toyota announced the suspension to the RAV4’s Canadian production due a COVID-19 situation. With the RAV4 being the most popular Toyota vehicle in America, it is expected that the automaker will move 430,387 units by 2020. The Canadian supplier caused the stoppage, which permanently impacted the production of this compact crossover.
Notable is the fact that the Toyota RAV4 Hybrid North America is being manufactured at other plants, especially at Georgetown, Kentucky. This is similar to the Equinox made in Mexico.