Automotive Chip Shortage Explained (With an Actual Example)

The chip shortage affected a number of automakers, with some being hit harder than others. For a while, Tesla (Nasdaq stock ticker: TSLA) had a staging area full of cars waiting for one last part. Toyota (NYSE: TM) has had to reduce production a number of times. Ford (NYSE: F) has had to cut production of its best-selling F150 and highly anticipated Bronco due to chip supply issues. Volkswagen Audi Group (OTC Pink: VWAGY / VLKAF) has been having trouble producing enough Audi Q7/Q8, Porsche Cayenne, and Volkswagen Touareg models. The Subaru (OTC Pink: FUJHY) Ascent, Impreza, Legacy, and Outback have seen delays. GM is facing troubles, too, and the list goes on. I'm not picking on the ones selected here, nearly every automaker has faced some issues, and the semiconductors are still in short supply in the global tech market. Semiconductors used to be a nerdy term to know, and now nearly everyone knows of them and/or has talked about them.

While a video about anti-lock brake systems was being worked on, the opportunity to make this video came about and was unplanned/unscripted. I didn't look into the specifics of the chips, but they tend to have at least one semiconductor element in them (though, typically, far more than that). I have seen the automotive chip shortage explained by news sources talking to people who have probably never touched a car part before, so I figured I'd show precisely what is being discussed without resorting to stock footage. 2020 was the start, 2021 is when the shortage really took hold, and here in 2022, we are still seeing the shortage affect car availability, automakers, and their stocks. Do you see an ending to this micro crisis? Hopefully things will be back to normal in early 2023, but with the world the way it is right now, who knows.

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