Page last updated at 19:22 GMT, Tuesday, 20 April 2010 20:22 UK

Iceland volcano: Nissan and BMW suspend some production

Nissan Cube
The three models are targeted at the North American market

Nissan and BMW have said they will suspend some of their production because supply of parts has been disrupted by the volcanic ash.

Nissan said production of three models in Japan will stop on Wednesday because it was unable to import air pressure sensors from Ireland.

The sensors are used in Nissan's Cube, Murano and Rogue vehicles.

Meanwhile BMW has said that three plants in Germany had already cut production or were set to do so.

A plant in Spartanburg in the US had already slowed production as its supply chain came under pressure. Now those in Dingolfing, Regensburg and Munich will also be affected.

Nissan said it would halt production of 2,000 vehicles, but has not yet decided whether a further suspension is needed on Thursday and beyond.

Production of the three models, which are targeted at the North American market, will be reduced at its Oppama plant in Yokosuka outside of Tokyo.

The moves comes as the spread of volcanic ash from Iceland continues to disrupt European airspace.

Businesses affected

Meanwhile, other Asian businesses have also been hit by the disruption to flights.

Factories in China's Guangdong province have seen air shipments of clothes and jewellery delayed.

In South Korea, Samsung and LG said they were unable to air-freight more than 20% of their daily electronics exports.

And the Federation of Hong Kong Industries said hotels and restaurants in Hong Kong were facing shortages of French cheese, Belgian chocolates and Dutch fresh-cut flowers.

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CBS News Volcano Ash Cloud Sets Off Global Domino Effect - 21 hrs ago Nissan and BMW car production hit by volcano disruption - 21 hrs ago
RTE Online Antrim firm tries to get parts to Nissan - 24 hrs ago
AFP via Yahoo! Nissan halts some vehicle production amid air havoc - 30 hrs ago
Economic Times Volcano clouds Nissan car production - 31 hrs ago

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