Published: Tue, May 30, 2017
Money | By Armando Alvarado

Supply problems hit production at BMW

Supply problems hit production at BMW

A shortage of steering parts has led BMW to halt production in South Africa.

Diederik Reitsma, the general manager group communications at BMW Group South Africa, said yesterday this was a global problem affecting BMW 1-Series, 2-Series, 3-Series and 4-Series and meant that only limited vehicle production was now possible at various BMW Group plants in Germany.

BMW plants in Tiexi, China and Rosslyn, South Africa have extended or pulled forward planned interruptions to production, the carmaker said.

"We can confirm that due to an interruption within the supply chain, the production of the BMW Group is now facing irregularity with the delivery of some components", said Edward Makwana.

"A task force is working constantly to solve the issue", he said.

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BMW has two plants in the the northeastern Chinese city of Shenyang with local partner Brilliance China Automotive Holdings Ltd producing models including the 3-Series and 5-Series sedans.

BMW's Rosslyn plant manufactures 3-series models.

"Our Purchase and Production Logistics divisions are now working on a solution".

"We are taking advantage of the flexibility of our processes to minimise economic damage", he added.

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