Chip Shortage Costs Carmakers Output of 1.3 Million Vehicles

The global shortage of semiconductors and winter storm that devastated Texas last month probably cost carmakers production of about 1.3 million vehicles this quarter, according to IHS Markit.

The recent fire at major auto-chip maker Renesas Electronics Corp. could disrupt operations in Japan and the U.S. for at least a month, leaving the industry’s second-quarter output “as exposed” as in the first three months of the year, the researcher said in an emailed statement. Semiconductor supply may not stabilize until the fourth quarter, according to the firm’s analysts.

“The auto industry recovery from the pandemic is being challenged by the perfect storm of month-long capacity constraints at the juncture of becoming a choke point for the sector as well as one-off challenges of natural disasters,” said Matteo Fini, vice president of automotive supply chain, technology and aftermarket for IHS.

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