With a massive global chip shortage, Great Wall Motor (GWM) admitted on April 25 that its chip supply is tight and production at its plants has been affected to some extent, but denied that production at its two production sites has been halted.

This follows reports that GWM is experiencing capacity bottlenecks and that production at its Chongqing and Xushui sites will be halted in May and June, affecting the popular Haval H6, Great Wall Pao, and Tank 300 models.

GWM said there are no plans to shut down production at the two sites, but the chip shortage does have some impact on production at the plants.

The company is sourcing chips from around the world and strengthening supply chain management to mitigate the impact of tight chip supply.

Previous reports said that GWM's managers did not take a break during the Chinese New Year holiday and have been talking to suppliers globally about chip supply.

As to whether it will conduct its own chip development in the future to avoid this dilemma, the company said it has no such plans because of the high cost of doing so, Yicai.com reported on Monday.

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