After a reprieve the previous week, North American factories removed about 87,500 vehicles from their production schedules because of the microchip shortage, according to the latest weekly estimate by AutoForecast Solutions. Europe was the only other region to lose production: 4,200 units.
President Joe Biden last week toured the world’s largest semiconductor plant, owned by Samsung, outside of Seoul, alongside South Korean President Yoon Suk-yeol.
Biden’s “recent trip to South Korea could help broker a long-term answer to the North American chip supply issue,” Sam Fiorani, AFS’ vice president of global vehicle forecasting, said in an email. “Tackling the semiconductor shortage is a long-term problem because there is no expectation of fewer chips being used in vehicles as they become more complex. In the short term, however, the automotive industry continues to compete for limited fab space with other fields where more profitable chips are the norm. Expectations for a solution this year have faded and 2023 may not see a full recovery either.”
