The global semiconductor shortage that has paralyzed automakers for nearly a year shows signs of worsening, as a new wave of coronavirus infections halts assembly lines in Southeast Asia.
The White House on Thursday will hold its second summit in five months with semiconductor manufacturers and buyers, in part to gain more clarity on the scope of the problem, senior administration officials said Wednesday.
Worsening Chip Woes to Cost Automakers $210 Billion in Sales
(Bloomberg) — The cost of the intractable semiconductor shortage has ballooned by more than 90%, pushing the total hit to 2021 revenue for the world’s automakers to $210 billion.
That’s the latest dire forecast from AlixPartners, which predicts global automakers will build 7.7 million fewer vehicles due to the chip crisis this year. That’s almost double the consultant’s previous estimate of 3.9 million. Despite ongoing efforts to shore up the supply chain, semiconductor availability has worsened as automakers exhaust stockpiles and other industries have no more to spare.