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One More Carmaker Comes Up with a Gloomy Prediction on the Chip Shortage

The first time the world started talking about a chip shortage was in 2020, with most experts and industry analysts out there projecting a rather rapid end that was supposed to take place in 2021.
Nissan doesn't expect the chip shortage to be over this year 8 photos
Photo: Nissan
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Unsurprisingly, 2021 had completely different plans for the entire planet, so not only that the chip shortage wasn’t resolved, but it actually became even worse. The disruptions in the supply chain were massive, with the car market, in particular, hit in the most painful way.

Automakers across the world had no other option than to temporarily halt the production at some facilities simply because they lacked the necessary chips to install on the cars there were building. Others decided to ship vehicles without certain systems, all in an attempt to reduce the number of chips offered on each model.

Once again, the experts who were keeping a close eye on the investments in chip capacity came up with an optimistic forecast: the shortage was now expected to come to an end in 2022.

Well, it’s 2022, and the chip crisis is still here still wreaking havoc in most industry sectors, and still giving no signs it would be over anytime soon.

More and more carmakers are now expecting the chip shortage to continue at least until 2023, with Nissan recently joining the club of the big names projecting another difficult year in terms of car manufacturing.

Nissan's Chief Operating Officer Ashwani Gupta has recently explained in an interview that while 2022 is indeed expected to witness a slight recovery in terms of chip supply, it’s hard to believe the nightmare would be 100% resolved.

Gupta noted the demand is likely to continue growing at a steady pace, but on the other hand, what the industry needs to do is find a way to boost production and thus reduce the always-increasing waiting times. How exactly this is supposed to happen is still a mystery for the entire automotive industry.
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About the author: Bogdan Popa
Bogdan Popa profile photo

Bogdan keeps an eye on how technology is taking over the car world. His long-term goals are buying an 18-wheeler because he needs more space for his kid’s toys, and convincing Google and Apple that Android Auto and CarPlay deserve at least as much attention as their phones.
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