Suzuki's Hungary plant to stop production amid Red Sea supply gap

Suzuki's Hungary plant to stop production amid Red Sea supply gap

Automotive News Europe — 2024-01-15

Automotive Industry

Suzuki's plant in Hungary will suspend output of the Vitara and S-Cross models amid supply shortages caused by attacks on shipping in the Red Sea.

Suzuki said the halt from Jan. 15-21 is due to delays in the shipment of Japanese-made engines. The plant, located in the northern Hungarian city of Esztergom, plans to resume manufacturing from January 22.

Attacks on vessels in the Red Sea by Iranian-backed Houthi militants in Yemen have disrupted international commerce on the shortest shipping route between Europe and Asia.

Tesla has said it will suspend most car production at its factory near Berlin from January 29 to February 11. Tesla relies on batteries from China to build the Model Y at the factory.

Volvo's factory in Ghent, Belgium is pausing output for three days due to a delayed delivery of gearboxes.

Stellantis said it is relying on air freight to cope with temporary supply disruptions.