A global chip shortage that has dogged carmakers since late 2020 is likely to peak in the current quarter, before starting to ease in the second half of the year, the China chief of leading global auto components supplier Bosch Group told Caixin in an interview.
But he added the problem won’t be solved until the world’s largest foundry, Taiwan Semiconductor Manufacturing Co. (TSMC), can meet global demand from the hungry sector. Accordingly, he predicted supplies will continue to be tight through next year.
“Historically, the number of cars in (production) channels is equivalent to 1.5 to two months of sales,” Xu told Caixin. “If the chip supply can recover slightly in the third or fourth quarter, carmakers will boost production … so that this year’s car sales may not be too bad.”