Global Car Manufacturer: "Semiconductor Shortage May Last Until 2023"

Photo by Reuters

[Asia Economy Reporter Yujin Cho] Global major automakers have projected that the semiconductor chip supply shortage could continue until 2023.

On the 6th (local time), executives from major automakers such as Volkswagen, Daimler, and Ford met with CNBC reporters at the Munich Motor Show in Germany and said it is difficult to say when the semiconductor supply shortage will be resolved.

Herbert Diess, CEO of Volkswagen, described the shortage of automotive semiconductors as a "really big concern," stating that he had expected the semiconductor shortage situation to improve after the summer vacation season, but it is lasting longer than anticipated.

He emphasized that disruptions continue as factories have been closed recently due to a resurgence of COVID-19 in Malaysia, where many Volkswagen suppliers are concentrated.

Gunnar Herrmann, Chairman of Ford's European Board, warned that the semiconductor supply shortage could continue until 2024. He particularly noted that the paradigm shift to electric vehicles is worsening the supply shortage situation.

For example, producing one Ford Focus requires 300 semiconductors, but producing electric vehicles requires 3,000 semiconductors.

Chairman Herrmann said, "Not only semiconductor chips but also raw materials such as lithium, plastic, and steel are relatively in supply crisis," predicting that automobile prices will rise due to the increase in raw material costs.

Ola K?llenius, CEO of Germany's Daimler, also said, "The third quarter will be the hardest hit," adding, "We hope recovery will begin in the fourth quarter, but uncertainty remains in the recovery of production systems."

He predicted that the structural problems in semiconductor demand and supply "will affect until next year and may only ease in 2023."

This content was produced with the assistance of AI translation services.