Stellantis to halt Italy's key Melfi plant next week due to chip shortage & More News Here

Stellantis emblem is seen on the corporate’s headquarters in Poissy close to Paris, France, February 20, 2022. REUTERS/Gonzalo Fuentes

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MILAN, June 1 (Reuters) – Carmaker Stellantis (STLA.MI) will once more cease operations at its key Melfi plant in southern Italy next week, a union consultant mentioned on Wednesday, citing shortages of varied components, together with semiconductors.

Marco Lomio, native head of UILM metalworkers union, mentioned chip shortage was the primary downside.

“Fortunately the plant has worked regularly all throughout May, but when chips are not shipped we simply cannot build cars,” he mentioned after a gathering between the corporate and native staff’ representatives.

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Stellantis confirmed the plant would cease operations between June 6-11 due to a chip shortage, a spokesman for the carmaker advised Reuters.

UILM’s Lomio mentioned the brand new stoppage, which impacts virtually all of Melfi’s greater than 7,000 staff, provides to a vacation interval already scheduled for many of Stellantis’ operations within the nation beginning on Thursday with Italy’s Republic Day, Lomio mentioned.

“Basically the plant will stop operations on Thursday to reopen only on (Monday) June 13,” he mentioned.

Reporting by Giulio Piovaccari; enhancing by Agnieszka Flak

Our Standards: The Thomson Reuters Trust Principles.

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