chip

INDIANA IN-DEPTH: Chip shortage puts news, used vehicles in high demand | Across Indiana

Currently in the market for a new or used car? If so, be prepared for some sticker shock, at least for the foreseeable future.

According to the analysts at automotive resource company Edmunds, new car inventories have been strained for months due primarily to a combination of global semiconductor chip shortages and supply chain disruptions connected to the COVID-19 pandemic.

After digging into the potential impacts of those factors, the company recently reported that new vehicle inventory at dealerships nationwide was down by 48% this spring compared to a year ago, with inventories continuing to fall in the summer. And while the company does predict that new car inventories will begin to steadily rebuild beginning in September, the anticipation is that inventories will remain well below their pre-pandemic levels through 2022.

“New vehicles — particularly new trucks and SUVs — are basically the 2021 equivalent of toilet paper and

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India’s Mahindra sees Sept car output down by a quarter on chip shortage

An employee works inside the Mahindra & Mahindra manufacturing plant in Chakan, India, September 30, 2016. REUTERS/Danish Siddiqui/File Photo

BENGALURU, Sept 2 (Reuters) – Indian automaker Mahindra and Mahindra Ltd (MAHM.NS) said on Thursday it expects a 20%-25% drop in September vehicle production due to semiconductor shortages, following supply chain disruptions due to the pandemic.

Globally carmakers have been hit by chip shortages and have warned of further pain due to stiff competition from the consumer electronics industry for semiconductor deliveries.

Mahindra said its revenue and profit will be impacted in line with the fall in production volumes, while its tractor, truck, bus and 3-wheeler production was unaffected.

The company will have about seven “no production days” at its automotive division plants this month, the company said in a filing.

Earlier this week, Maruti Suzuki India Ltd (MRTI.NS), the country’s top carmaker, said it expected production at its

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The car industry’s chip shortage is far from over

Chip shortage car inventory

This scene at car dealerships is very common.


Justin Sullivan/Getty Images

What automakers hoped would be a temporary setback simply isn’t happening. According to a Friday Bloomberg report, major Japanese semiconductor chip supplier Rohm said it foresees chip shortages throughout next year. It’s not that the company can’t build chips quickly enough, but the fact that its own supply chains are involved in serious bottlenecks.

Speaking with the publication in an interview, Rohm CEO Isao Matsumoto said its lines continue to operate at 100% capacity as it works to fill backlogged orders from automotive customers. Ford, Toyota and Honda are three of its largest customers. However, the executive said orders are “overwhelming” and major investments to boost production won’t create quick returns. The company will invest another $636 million to further maximize production, but equipment to boost output isn’t arriving on time. In addition to the general supply chain problems

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Carmakers’ chip shortage that caused prices to soar may be ending

Automakers may soon get a lot more of the chips they need to get cars for sale.

Why it matters: Winter weather, a fire and the COVID-19 pandemic have contributed to a shortage in chips that has stalled the production of new cars.

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Driving the news: Chip giant Taiwan Semiconductor reported its Q2 earnings on Thursday, and with it announced relief was coming for automakers in need of chips.

  • On a call with analysts, CEO C.C. Wei said its production of micro-controlling units for cars would be up 60% in 2021 compared to last year.

  • “By taking such actions, we expect the automotive component shortage from semiconductors to be greatly reduced for TSMC customers starting this quarter,” he said.

  • Taiwan Semiconductor controls a little over half of the chip production market share as measured by dollar value.

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