AutoForecast Solutions: Due to chip shortages, North American factories have been forced to cut nearly 1.06 million vehicles from production plans in 2022

AutoForecast Solutions: Due to chip shortages, North American factories have been forced to cut nearly 1.06 million vehicles from production plans in 2022

It is learned that the ongoing global semiconductor shortage will lead to the reduction of more than 100,000 vehicles from North American production plans this week. It is expected that more than 180,000 vehicles will be cut worldwide. Data from AutoForecast Solutions (hereinafter referred to as AFS) stated that due to the chip shortage, North American factories have been forced to cut nearly 1.06 million vehicles from their production plans this year. This makes North America the worst affected region so far.

Nearly 3 million vehicles have been cut so far for 2022, according to AFS, and the agency expects that number to grow to more than 3.8 million by the end of the year.

In addition to complete vehicles, many automakers have had to reduce the number of features their products offer. Back in November, General Motors was forced to cut heated seats and heated steering wheels on some of its vehicles due to chip shortages. This is just one of many issues affecting auto companies around the world.

The automotive industry may not recover from the chip shortage until 2023 or later. Sam Fiorani, vice president of global automotive forecasting at AFS, affirmed this inference earlier this year – "This is not a problem that can be solved quickly."

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