Feb 2023
Microchip Shortage: More North America Cuts
North American factories cut 33,900 more vehicles from their production schedules last week, a sign that the microchip shortage continues to linger despite improvements in supply, according to the latest estimate by AutoForecast Solutions.
Those reductions come on top of 11,500 vehicle cuts by North American plants one week earlier. North America was the only region to see further chip-related production cuts.
So far this year, automakers worldwide have trimmed nearly 350,000 vehicles from their production plans due to the global semiconductor shortage, now in its third year. AutoForecast Solutions projects that number will climb to 2.81 million by the end of the year. Automakers including Honda recently signaled they believe the chip shortage is bottoming out but still expect it to drag on into late 2023 or early 2024.
Projections for loss by region are as follows:
- North America YTD – 89,200 (2022 Projected – 924,600)
- Europe YTD – 42,300 (2022 Projected – 812,400)
- Rest of Asia YTD – 184,300 (2022 Projected – 721,600)
- South America YTD – 16,400 (2022 Projected – 138,100)
- China YTD – 16,200 (2022 Projected – 190,600)
- Middle East/Africa YTD – 1,500 (2022 Projected – 21,900)
- Total YTD – 349,900 (2022 Projected – 2,809,200)
