Automakers seen to bear the brunt of chip shortage

TheStar Sat, Jun 05, 2021 08:10am - 2 years View Original


Severe shortage: A worker holds a 200mm silicon wafer at a semiconductor plant in Dresden, Germany. The apparent worldwide shortage in semiconductor chips appears to continue to escalate. — Bloomberg

THE chip shortage that is being experienced in the semiconductor sector is expected to have a more pronounced impact on the automotive sector compared with the consumer electronics industry.

According to industry insiders surveyed by StarBizWeek, this is due to the lower priority that is being given by the semiconductor industry to the auto makers as volumes from this segment are much lower.

The apparent worldwide shortage in semiconductor chips appears to continue to escalate. The issue appears to be sparked by fears from the spillover effects of the US-China trade war, which drove the stocking up of inventory of semiconductor chips.

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