The blockage of the Suez Canal by a huge cargo vessel that has run aground is set to cause delays to deliveries of new cars from manufacturers in the Far East.
The 400-metre-long Evergreen container ship ran aground while traversing the canal, which connects the Mediterranean and Red seas, substantially shortening the sea link between Europe and Asia.
With the canal blocked, many container ships now face long delays waiting for the Evergreen to be freed. As first reported by Car Dealer Magazine, at least two large car transport vessels are among them.
A Kia spokesman said the firm was “aware of delays” to the likely delivery of some cars bound for the UK, but added that “currently our stock levels are comfortably sufficient”. He added: “We will continue to monitor the situation and take appropriate action within our control.”
The blockage could also cause delays in the delivery of parts and materials used in the production of cars, motors and batteries. That could compound ongoing production disruption due to the shortage of semi-conductors.
Mazda and Toyota are not thought to have been affected so far, while Suzuki believes it has enough stock to meet demand.
READ MORE
How British-built cars get to their foreign homes
Analysis: Car industry faces challenges as semi-counductor shortage issues grow
Join the debate
Add your comment
The curse of Brexit strikes again!!!