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Stellantis says chip shortage disrupts Fiat production in Italy

The component shortage hurt October sales, particularly of the Fiat Pandina, and could cause further production stoppages in November and December.

Car assembly line with vehicles at different stages of production
Photo: CNA

Stellantis said on November 2 that a shortage of an engine-control chip was significantly disrupting output of some Fiat models in Italy. The carmaker warned that the problem could persist through November and December, potentially forcing plants to halt production.

The company said the supplier's chip shortage had already affected October sales, with the Pandina small car particularly affected. The Pandina is among Fiat's best-selling models.

Further disruption could affect Pomigliano, which makes the Pandina, and Mirafiori, which produces the Fiat 500. Italian factories supplying engine components could also be affected, including Termoli, where the N3 GSE engine fitted to both models is assembled.

Stellantis said it and Fiat were giving priority to finding alternatives and bringing operations back to normal gradually.

Mirafiori is already in a three-week shutdown that began in mid-October because of a different component shortage. Unions have cited weak demand for the Fiat 500 as another factor behind that stoppage.

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Lucas Almeida

Companies and Deals Editor

Edits and reviews corporate news (earnings, leadership changes, layoffs, product launches) and deal news (IPOs, mergers and acquisitions, buyouts and funding rounds).