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Chip shortage deepens supply problems at global carmakers

Toyota to cut production by 40% in September after Covid hits countries critical to assembly lines

The chip shortage hobbling the auto industry has worsened as a wave of coronavirus cases spreads across south-east Asia, with three of the world’s largest carmakers announcing new disruptions on their assembly lines.

Toyota, the world’s largest carmaker, said it would slash its global production by 40 per cent in September. US-based Ford said one of its plants would halt assembly of its F-150 pick-up truck for a week starting on Monday. General Motors added or extended downtime at production lines around North America.

The Japanese group said on Thursday it would build 540,000 vehicles next month, down from the 900,000 it had originally planned.

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