According to bosses, 2022 will not be as hard as 2021.
During the ongoing 2021 IAA in Munich, executives from German automotive firms warned that the global chip shortage crisis might not be solved next year. It will likely take another 15 to 20 more months for the industry to overcome the shortage of semiconductors. However, the impact on vehicle production should be less.
In Munich, Ola Kallenius, CEO of Daimler, stated that “many chip suppliers have been referring structural problems with demand.” “This could have an impact on 2022, and [the situation] might be more relaxed in 2023.”
Herbert Diess, Herbert Diess’s CEO at Volkswagen, thinks the situation will not normalize in the next months or even years. This is because semiconductors are still in high demand and will be required more often. The internet of things is expanding and capacity ramp-up will take some time. Automotive News quotes Diess as saying that it will likely be a bottleneck in the coming months and years. Oliver Zipse CEO BMW, stated that “the general tightness in the supply chains” will continue for the next six to twelve months.
Nearly every automobile company has been facing difficulties in recent months due to the shortage of global chips. Toyota had to reduce production on some plans while Volkswagen began delivering cars without audio systems in Brazil. Ford and Land Rover had to slow down production, while Stellantis and General Motors had to adjust their production schedules due to the chip shortage.
Automakers must also deal with increasing demand for microchips from companies other than the automotive industry. A recent report by Forbes suggests that Apple could pay significantly more to secure chips than other tech firms to ensure its profitability.