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Cars & Chips

Chili Palmer

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So is it only American cars that are suffering chip shortages? I drive down the 210 everyday and see all sorts of cars at the BMW, Mini, Infiniti, Subaru, and Honda dealerships, and the Chevy dealership is the only one that is lacking vehicles, the Dodge and Ford dealerships in Glendora are also pretty sparse, but Glendora Toyota and Hyundai all seem to be well stocked.

I guess that's what happens when they manufacture their chips locally, they can control the inventory instead of giving the shooting match to China. The American car companies just don't seem to learn, they're always one hiccup away from bankruptcy.
 

PlanB

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The Suburban we ordered a few weeks ago is on hold because of the chip shortage. No idea when the order will be processed but they already took our deposit. Might end up with a 2022 if it lasts much longer.
 

LuauLounge

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Not just cars, the PC world has been hit as well. PCs and flat panels are scarce to non existent.
 

Chili Palmer

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Not just cars, the PC world has been hit as well. PCs and flat panels are scarce to non existent.
....and who makes all the internals for PC's and flat panel monitors? China. They've put the world on hold on the electronic front.
 

pkbullet

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I have Ford, Lincoln, Honda, Mazda and Hyundai franchises. Ford has the worst situation and Hyundai has the best. Honda cut roughly 8 weeks of production out of supply line, so it is getting worse and will be a problem for the next 90-120 days. The root. cause was manufacturers cut their chip orders during covid and then sales didn't slow like the anticipated. Demand for processors increase from other industries and manufacturers can't catch up. The largest player out of Taiwan stated auto manufacturer demand could be met by June 30, but the lost vehicle production will not be made up.
 

Riverhound

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I have Ford, Lincoln, Honda, Mazda and Hyundai franchises. Ford has the worst situation and Hyundai has the best. Honda cut roughly 8 weeks of production out of supply line, so it is getting worse and will be a problem for the next 90-120 days. The root. cause was manufacturers cut their chip orders during covid and then sales didn't slow like the anticipated. Demand for processors increase from other industries and manufacturers can't catch up. The largest player out of Taiwan stated auto manufacturer demand could be met by June 30, but the lost vehicle production will not be made up.

I work in the quality/containment and rework side of the business with those OE's and more and you're right on with your assessment. My group has touched in excess of 100k VIN's at various plants because of this situation and after several months we are just starting to see chipsets for module availability starting to be forecasted. Once available we'll be slinging upwards of 2k modules a day into vehicles so they can be flashed and sent down the road.

Another unintended consequence is the finished vehicle supply chain. Because of volume decreases the railroads have parked and a metric shit ton of multi-level racks and don't plan on bringing them back online until late this year or early 2022.

The next problem will be they can't get them moved to market once they are all fixed! 🤷‍♂️

Going to be an interesting summer and fall for sure.
 

pronstar

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It’s not just the automakers.
It’s the entire supply chain.

At the end of the day, I’m now a car audio salesman.

As a Tiern1 supplier we’re affected, which trickles-down to the cars coming (or not coming) off the production line.

Thankfully our supply chain is solid.
Toyota and Lexus mandated a diverse supply chain for all of their suppliers after the tsunami decimated production.


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