Maruti Suzuki India warns of production hit for second month due to chip shortage

India’s top carmaker Maruti Suzuki said on Thursday it was expecting total vehicle production in October at two of its plants to be around 60% of normal levels due to a global chip shortage.

Booming demand for consumer electronics and supply chain disruptions across the globe have led to an acute shortage of chips, forcing a number of car companies to drastically cut production as they try to secure limited semiconductor supplies.

Maruti and rival Mahindra and Mahindra had also warned of a hit to their production for September due to the shortage.