Skoda Auto halts production for two weeks

Carmaker Skoda Auto has announced it is halting production in all three of its factories in the Czech Republic for a period of two weeks due to a lack of computer chips and other parts. The company said in a statement that the only exception would be a single production line in the Kvasiny plant which would complete the production of 10,000 cars already in-the-making.

Prime Minister Andrej Babiš said on Monday carmakers and their suppliers could start drawing contributions from the Antivirus program to cover the cost of restrictions. A meeting of the tripartite agreed the program could cover up to 60 percent of wage compensation to a limit of 29,000 crowns. The prime minister said he wanted to negotiate support for the automotive industry in the European Commission.