VW’s Brazil CEO expects new shutdowns due to component shortages – “It’s a daily struggle”

RIO DE JANEIRO, BRAZIL – Amid a shortage of semiconductors, Volkswagen has shut down two plants in Brazil on Monday, June 7, for 10 days. The shortage of components is a worldwide issue, which has led to disruptions in production of other automakers.

According to Pablo Di Si, Volkswagen’s CEO in Brazil, the solution should only come in 2022, with the increase in the production of semiconductors and the balance between supply and consumption.

Despite the challenges, Volkswagen is maintaining its growth projections for the year. Di Si recalls that the shortage of semiconductors has been an issue since October last year. However, vehicle production in Brazil grew 55.6% between January and May this year compared to the same period last year, according to ANFAVEA, an association representing automakers.

“At Volks, production grew 86%. There is a great consumer demand. So, we continue on a daily basis, with the absolute support of the assembler’s world team, which helps us buy parts and semiconductors. It is a daily struggle,” Pablo Di Si said.

In addition to a shortage of parts, inflation has also hindered economic recovery. But Pablo Di Si prefers to see the glass as half full.