Renault sees bigger production hit from chip shortage

PARIS: French carmaker Renault expects to produce at least 300,000 fewer vehicles this year due to a global shortage in semiconductor chips, three sources close to firm told Reuters on Wednesday, a much bigger hit than previously estimated. The supply problems would cost Renault, which is set to publish its third-quarter sales on Friday, over a third more than the 220,000 lost vehicles it forecast in early September.

A Renault spokesperson declined to comment.

The company’s Paris-listed shares were down around 4% by 1228 GMT.

“The forecasts change all the time, but the shortfall will be between 300,000 and 400,00 vehicles,” said one of the sources.

That would represent at least 8% of the 3.75 million vehicles Renault sold in pre-pandemic 2019.

The other two sources said the figure could be between 350,000 and 380,000 vehicles.