By Pierre Bertrand

 

Skoda Auto AS said Wednesday that it has secured its access to cable harnesses--a key part of electrical systems--by moving part of its production away from Ukraine, in a bid to protect itself from supply-chain shocks.

The Volkswagen-owned car brand said it partially relocated production of cable harnesses from Ukraine, to Mlada Boleslav, Czech Republic, where it is headquartered.

Working with suppliers, it has also secured additional production capabilities in Morocco and Romania, the company said.

The move has more than doubled production capacity for the components and further safeguards against supply disruptions and bottlenecks, the company said.

The supply-chain crunch caused by the war in Ukraine forced Skoda to suspend production of its Enyaq iV electric vehicle for eight weeks due to a shortage of cable harnesses, it said.

 

Write to Pierre Bertrand at pierre.bertrand@wsj.com

 

(END) Dow Jones Newswires

June 01, 2022 08:04 ET (12:04 GMT)

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