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Chipmaker Says Production Increased by 60% as More Companies Shut Down Plants

The automotive industry has been hit hard by the lack of semiconductors, with more and more companies deciding to temporarily halt their operations at certain factories in an attempt to deal with the whole thing.
TSMC says it wants to build more chips even than before the crisis 1 photo
But TSMC, the world’s number one chipmaker right now, says it’s working around the clock on addressing the semiconductor crisis, explaining that it turned to unprecedented actions in an attempt to boost its production and therefore provide customers with more chips.

A report from Nikkei reveals that TSMC wants to increase the production of microcontroller units by no less than 60 percent in 2021, and this alone is an increase of no less than 30 percent over the output the company recorded in 2019 before the global health issue.

In other words, TSMC not only wants to address the lack of semiconductors, but it also hopes to make more chips than before the crisis, essentially helping carmakers build inventory that would eventually allow everybody in the industry to prevent another shortage from happening.

TSMC has also turned to a series of other measures to address the global problem, including prioritizing automotive chips. Of course, this in its turn generates another issue, as other industries could end up being affected as the waiting times for semiconductors are increased.

In the meantime, however, carmakers have no other option than to halt their operations temporarily until more chips become available.

The most recent names affected by the shortage include Mitsubishi, Nissan, Suzuki, and Audi. All companies have turned to production adjustments simply because running at full capacity is no longer possible given they lack the chips to install on their cars.

When exactly things are supposed to come back to normal, nobody can anticipate, as industry experts believe the problems would continue into 2022 until more companies, like Intel, join in and start building chips for the car industry.

 

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