Photo: Hyundai
Like the rest of the industry, Hyundai is severely hit by the global chip shortage. The company has decided to temporarily halt the operations at one of its factories once again.
This time, the Asan plant is suspending the manufacturing, and as everyone can easily guess, it’s because the company doesn’t have enough chips to install on the cars it makes.
The plant located some 100 kilometers south of Seoul (that’s about 62 miles for our American readers) is currently responsible for producing the Sonata. Hyundai told Yonhap News Agency it expects the days of temporary shutdown to represent a loss accounting for more than 4,000 vehicles.
The worse thing is the Asan plant is currently at its second suspension in just two weeks, as Hyundai also suspended the operations last week on Monday and Tuesday due to the lack of powertrain control units.
Despite major efforts from pretty much everybody in the industry, the chip struggle is far from coming to an end.
The global health issue has caused a transition from the traditional office to ad-hoc working environments set up at homes. As a result, the sales of new-gen electronics, including phones, tablets, and computers, have skyrocketed. Since all these devices come with chips, foundries worldwide have been having a hard time dealing with all orders, especially as resellers anticipate strong sales in the coming months across the world and therefore try to adjust their inventory accordingly.
United States President Joe Biden himself has met with industry officials to discuss ways to address the chip shortage, all in an attempt to prevent the economy from getting more hits due to manufacturers shutting down their production lines.
Intel has already confirmed that it’s planning to enter the car chip manufacturing business. The company claims that its accelerated strategy should allow it to begin the operations in six to nine months.
The plant located some 100 kilometers south of Seoul (that’s about 62 miles for our American readers) is currently responsible for producing the Sonata. Hyundai told Yonhap News Agency it expects the days of temporary shutdown to represent a loss accounting for more than 4,000 vehicles.
The worse thing is the Asan plant is currently at its second suspension in just two weeks, as Hyundai also suspended the operations last week on Monday and Tuesday due to the lack of powertrain control units.
Despite major efforts from pretty much everybody in the industry, the chip struggle is far from coming to an end.
The global health issue has caused a transition from the traditional office to ad-hoc working environments set up at homes. As a result, the sales of new-gen electronics, including phones, tablets, and computers, have skyrocketed. Since all these devices come with chips, foundries worldwide have been having a hard time dealing with all orders, especially as resellers anticipate strong sales in the coming months across the world and therefore try to adjust their inventory accordingly.
United States President Joe Biden himself has met with industry officials to discuss ways to address the chip shortage, all in an attempt to prevent the economy from getting more hits due to manufacturers shutting down their production lines.
Intel has already confirmed that it’s planning to enter the car chip manufacturing business. The company claims that its accelerated strategy should allow it to begin the operations in six to nine months.
Google News