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2017.05.2900:22:00UTC+00Supply Shortages Hit BMW’s Production

Issues at its steering parts supplier has coerced German automaker BMW to stop production halts in Germany and could also impact plants China and South Africa, according to German magazine Focus.

Manufacturing at the sites in Shenyang and Rosslyn is seen to stop for a day, while its factory in Leipzig, Germany, is anticipated to be partially closed, spokesperson Michael Rebstock stated.

The facility in Leipzig has been closed since Friday, and production in another facility in Munich was also reduced in the previous week as an undisclosed car-parts supplier has been unable to meet the required deliveries, the magazine reported online.

Focus expect the disruptions would cost BMW double-digit millions of euros per day, without stating where it retained its information from.

The spokesperson said they could not determine when the production halts would be resolved, but he added that the luxury-carmaker would decide on further output stoppages caused by the supply issues as required. Rebstock described the estimated financial damage from the event as manageable but not yet measurable. He also noted that the firm's 1-Series through 4-Series models are all affected.

He added that a task force is currently working to resolve the supply issue.



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