Microchip Supply Shortage Continues to Hamper Vehicle Production
The ongoing microchip supply shortage has caused automakers to trim 87,500 more vehicles from their production forecasts, reports AutoForecast Solutions.
motorbisquit.com
The ongoing microchip supply shortage has caused automakers to trim 87,500 more vehicles from their production forecasts putting the total number at 1.5 million below 2021 levels, according to the latest estimate by AutoForecast Solutions (AFS).
AFS reports manufacturers axed about 1.59 million vehicles since January 1. Automakers also lost 10.5 million vehicles to the shortage in 2021, putting the total vehicles lost since the shortage started at 12 million vehicles worldwide.
Of the roughly 87,500 vehicles added to the total over the last week, around 35,600 were lost at North American factories and 32,800 from assembly plants in Asia outside of China.
European plants trimmed around 16,500 vehicles from their schedules, while 2,600 were cut from South American factories. China and the Middle East/Africa region reported no further cuts.
According to a Bloomberg report, quarterly microchip production in China fell in the first quarter for the first time since 2019. Output of semiconductors fell 4.2% in the first quarter compared with 2021 levels, largely due to COVID-19 lockdowns in Shanghai.
Originally posted on Auto Dealer Today
More Showroom
California Hybrids Reach State Record
The Golden State still leads the country in electric-vehicle registrations, but much like the rest of the U.S. its hybrid market share is up while full electrics stabilize after a dramatic first-quarter dip.
Read More →
My Mercedes in the U.S.
The German brand debuted its studio dealership concept for the first time in the states in Los Angeles, tapping Americans’ penchant for creative distinctions.
Read More →
Used Sales Hit Summer Drag
The vacation season, combined with high prices, has dented deliveries and added to inventories, though supply is still slim enough to keep listings elevated.
Read More →
California Launches EV Rebate Program
Participating automakers are matching the state's $13.5 million investment in new electric-vehicle rebates scheduled to take effect later this summer.
Read More →
OEM Poll Sees Industry Evolution
Kerrigan Advisors’ survey of automakers finds that tariffs, technology, network tightening and other factors are poised to reshape auto retail.
Read More →
The Trade-In Paradox
Retailing older cars with confidence in today’s market is a matter of establishing and following a clear process that can turn greater profit for auto dealers as they aim to meet used-unit hunger.
Read More →
Focus on Vehicle Cabins
The market for interior materials will grow in coming years as automakers look to meet consumer demand while staying competitive with changeups to sourcing and included features.
Read More →
State Follows Federal Warning on Auto Ads
The Massachusetts attorney general cautioned the state’s automotive dealers to be upfront with the consuming public about their vehicle prices or risk punishment.
Read More →
European EV Market Hits Record
Seven out of the top 10 electric vehicles sold so far in 2026 in Europe are by European brands, and automakers are seeing the power train fill up their order books.
Read More →
Used EVs Outpace New
While North American electric-vehicle sales remain down year-over-year, May sales saw a 3% increase from April’s numbers as used EVs led the market.
Read More →