A shortage in the availability of computer chips is predicted to mean 3.9 million fewer vehicles will be built around the world this year.
Consultants Alix partners has published its latest forecast on the impact of chip shortages in automotive production, saying it amounts to $110 billion in vehicles (£78 billion) not being produced, which is nearly double its estimate in late January.
“Due to the lack of chips, we expect around 3.9 million fewer vehicles to be produced worldwide this year,” said Dr Marcus Kleinfeld , Managing Director at AlixPartners in Germany. “A significant proportion of this will also be reflected in the manufacturers’ sales figures, which will be partially offset by the reduction in inventories.”
IBM president Jim Whitehurst told BBC News it would take time for the industry to add the necessary capacity to ease the current shortage and that there is a “big lag” between the development of a technology and manufacturing of chips. To alleviate this, IBM is looking to reuse and extend the life of some technologies, along with accelerating investment in factories to boost capacity.
(Picture – Yay Images)