U.S. auto part makers brace for a bumpy ride as chip shortage to intensify


FILE PHOTO: The logo of Lear Corporation, a Michigan-based car seat maker, is pictured at one of their premises during the coronavirus disease (COVID-19) outbreak, in Ciudad Juarez, Mexico April 16, 2020. REUTERS/Jose Luis Gonzalez

(Reuters) -U.S. auto parts suppliers warned of more production cuts at major automakers as a global semiconductor chip shortage worsens before easing in the second half of the year and aiding in a partial recovery of lost sales.

The chip shortage came at an inopportune time for automakers as demand rebounded from pandemic lows due to low interest rates and consumers' preference for personal transport amid the health crisis.

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