Car makers around the world are reporting further delays on production lines, slowing new-car deliveries yet again.
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Hyundai has suspended production at one of its factories in South Korea thanks to a shortage of semiconductor computer chips.

Hyundai is the latest car maker to pause manufacturing due to the chip shortage, with General Motors, Honda, Stellantis, and a number of other companies announcing similar situations over the past month.

A spokesperson for Hyundai Australia told CarAdvice the impact to local buyers is expected to be minimal.

However, the production interruption caused by the semiconductor shortage is in addition to recent shipping delays, which have pushed out deliveries of most Hyundai and Kia cars in Australia by at least four weeks, according to confidential bulletins sent to dealers.

While traditional petrol- and diesel-powered cars can use up to 200 semiconductor chips, electric vehicles – such as the Ioniq 5, produced at the now-suspended Hyundai factory (and pictured at the top of this story) – can use up to 3500 chips.

In addition to the global computer chip shortage, earlier this month a Japanese company responsible for 30 per cent of the global automotive semiconductor supply reported a fire at one of its factories, telling local media it would be about a month before the facility returned to full production capacity.

Despite roaring demand for new cars in Australia, local dealers told CarAdvice in February they didn't expect supply to return to normal until the second half of 2021 at the earliest.