Chip Problem Continues to Lesser Degree
Report forecasts production cuts resulting from issue this year.
Most of the cuts will occur in greater Asia, outside of China.
IMAGE: Getty Images/gorodenkoff
The ongoing semiconductor microchip supply shortage will continue to cut into automakers' production this year, though significantly less than it did last year, according to numbers released by AutoForecast Solutions.
The automotive data and analysis provider forecasts that this year’s vehicle production cuts resulting from the chip issue will amount to about 2.8 million units, down about 36% from 4.4 million last year and more than 10 million in 2021.
AutoForecast expects that most of the cuts will occur in greater Asia, outside of China.
Chip supply has bedeviled carmakers since the dawn of the pandemic, though it has eased year-to-year, and inventories have improved accordingly.
Originally posted on Auto Dealer Today
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