Reuters is reporting that Porsche has suspended production of the all-electric Taycan sports car at the factory in Stuttgart-Zuffenhausen, Germany. This shutdown is due to a lack of components, and it will continue through next week. This is just the latest in a long string of shutdowns that Porsche and other automakers have suffered as a result of supply chain issues.
War In Ukraine Has Caused A Shortage Of Wire Harnesses
The recent Russian military actions in Ukraine are causing a new set of problems for car companies as they continue to struggle with supply chain issues. Carmakers in Europe are now having difficulty acquiring wire harnesses. This is because suppliers in Ukraine have shut down factories because of the war.
A wire harness is an important component needed to bundle cables in a typical car. Wire harnesses are uniquely designed for each type of car, and they are necessary in each vehicle. A car must have wire harnesses.
Suppliers including Germany's Forschner, Kromberg & Schubert, and Japan's Yazaki build wire harnesses in factories in Ukraine because of the lower-cost and skilled work force. These suppliers are now scrambling to redirect wire harness production to factories in other regions. But reassigning to production elsewhere can take months, and even years.
European automakers have suffered the most from the halt of wire harnesses in Ukraine. VW and BMW recently halted production at plants in Europe due to the lack of wire harnesses. Porsche's Leipzig plant stopped work this week, but will resume partial production on Monday.
Production Of Other Models At Stuttgart Plant Are Not Affected
The Stuttgart-Zuffenhausen factory is the only place where Porsche manufactures the Taycan EV. But the shutdown of Taycan production will not affect the other Porsche models built at that plant. This includes the 911, Boxster, Macan, and Cayman. This factory is also the assembly site for all Porsche engines as well.
The shutdown of Taycan production should have an effect on Porsche's bottom line. The German automaker enjoyed record sales of 301,000 vehicles in 2021. The Taycan is the third best-selling Porsche model, after the Cayman and Macan SUVs. It outsells the iconic 911, and it is a critical part of Porsche's plan to offer more electrified vehicles in the future.