Aside from the raw, human toll, COVID-19 has dramatically changed how we live, from travel and education to the way people work. This pandemic has also had an outsized -- and unfortunate -- impact on the automotive industry, snarling global supply chains and limiting vehicle production. But perhaps nothing has hamstrung car companies more than the ongoing semiconductor shortage, which is still a major issue two years after coronavirus went global.
For several important reasons, "The chip shortage is still very much a problem," said Sam Fiorani, vice president of global vehicle forecasting at AutoForecast Solutions. "This is not a quickly solvable issue," he added.
Automakers large and small are still being affected by an acute lack of semiconductors, which are absolutely necessary, even in the most basic cars and trucks. Everything from advanced driver-assistance features to infotainment systems to heated steering wheels are powered by some sort of computer chip, and that's only going to accelerate in future.
Toyota continues to face shortages that will affect manufacturing. "Our teams are working diligently to minimize the impact on production … in North America we are projecting a reduction of approximately 25,000 to 30,000 vehicles in February," the automaker told Roadshow. The good news is, Toyota does not anticipate these shortfalls will impact employment.
GM has similar challenges. Late last year, the company confirmed it wasn't able to offer certain features on a range of models due to a lack of chips, though things are getting better. "Fortunately, at the moment we do not have any North American assembly plants that are on downtime due to the global shortage of semiconductors," a spokesperson for the Detroit-based automaker told Roadshow. Second shifts have just resumed at its assembly plants in Fairfax, Kansas, home of the Chevy Malibu and Cadillac XT4, and Ramos Arizpe, Mexico, where the Chevy Blazer and Equinox SUVs are built.
https://www.cnet.com/roadshow/news/features/why-automotive-chip-shortage/
