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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6abc’s Auto Experience navigates the industry’s trending topics

PHILADELPHIA (WPVI) — Take a ride with the experts in the auto industry during 6abc’s Auto Experience, airing August 26 at 7 pm on 6abc (rebroadcast on August 28; also streaming on the 6abc app).

Karen Rogers and Ducis Rodgers are joined by automotive experts Maria Pacifico and Kevin Mazzucola to navigate the biggest issues impacting the automotive world today.

Experts from Motor Trend, Kelley Blue Book and Edmunds provide insights on the industry’s trending topics, from Covid cars to electric vehicles and how one tiny piece of technology is changing everything for automakers and shoppers.

Automakers persevere through pandemic
The global pandemic has created major challenges for the automotive industry.

Shutdowns have affected manufacturing, forcing some dealerships to close and others to adjust to a new way of selling vehicles.

But nothing has been quite as impactful as the microchip shortage that has halted production on millions of vehicles

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The Apple Car is exposing the EV industry’s biggest strategy rifts

Apple’s talks with Hyundai and Kia which could have seen the South Korean automakers build the much-rumored Apple Car have ended, highlighting stark differences in how automakers aim to capitalize on significant investments into electric vehicle platforms. Earlier in the year, Hyundai appeared to signpost that Apple’s longstanding Project Titan car project had found its manufacturing partner, announcing that the two companies were in talks.

It was enough to send Hyundai and Kia’s stock price shooting up, and prompt some confusion among long-time Apple watchers. The Cupertino company has never publicly discussed its long-term plans for Project Titan, nor committed to making a vehicle. Indeed, its collaborations with third-parties are usually wrapped tightly in a level of secrecy from non-disclosure agreements.

Hyundai’s announcement, and the media furore that followed it, was believed to have caused some waves, then. The automaker released subsequent statements that backtracked from its initial confirmation, but

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