Thursday, August 7, 2025

Nio Halts Vehicle Production For Five Days Due To Semiconductor Shortage

Nio Inc (NYSE: NIO) this morning was the latest automotive firm to announce production suspensions in the near term. The suspension comes as a result of the global semiconductor shortage being experienced.

The production suspension is expected to apply to the JAC-NIO manufacturing plant based in Hefei, where production will be suspended for five working days beginning March 29. The production halt as a result has resulted in lowered guidance for the firm, with the company expecting to deliver 19,500 vehicles in the first quarter, rather than the previously targeted 20,000 to 20,500 vehicles.

The ongoing semiconductor shortage, which is believed to be partially attributed to the rise in bitcoin and its related infrastructure, has hammered automotive producers globally as of late. Both Ford and General motors have been forced to slow or halt production of certain models as they look to cope with material shortages, while Ford has resorted to partially-producing vehicles until the required tech components are available.

Nio Inc last traded at $34.96 in pre-market trading, where it is down 8% on the news.


Information for this briefing was found via Nio Inc. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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