Oct 25 2022

Automakers are expecting the microchip shortage to drag on into a third year and are already lowering their production plans for 2023, according to AutoForecast Solutions.

“Chips are moving to the industry, just not enough to ensure production of even the most popular models,” said Sam Fiorani, AFS vice president of global vehicle forecasting, in an email.

Nearly 3.6 million vehicles have been axed from automakers’ global production schedules since the start of this year because of semiconductor shortages, on top of the roughly 10.5 million units that were cut in 2021. While chip supply has been improving, the end of the automotive microchip shortage “continues to move further into the future,” Fiorani said.