What are the reasons for the automotive chip shortage?
2 Answers
Global automotive industry's strong recovery has led to increased demand for chips; frequent 'black swan' events have caused global chip supply shortages, among other reasons. Below is relevant information: Automotive chips: Automotive electronic chips collectively refer to chips used in vehicles. Integrated circuits fabricated on the surface of semiconductor chips are also known as thin-film integrated circuits. Another type, thick-film hybrid integrated circuits, are miniaturized circuits formed by integrating discrete semiconductor devices and passive components onto a substrate or circuit board. Transistors: After the invention and mass production of transistors, various solid-state semiconductor components such as diodes and transistors were widely used, replacing the functions and roles of vacuum tubes in circuits. By the mid-to-late 20th century, advancements in semiconductor manufacturing technology made integrated circuits possible.
Speaking of the automotive chip shortage, I've studied the supply chain and found the core issue is supply-demand imbalance. The pandemic in 2020 completely disrupted production schedules at global chip plants, while automakers kept placing orders based on old plans. What's worse, consumer electronics giants aggressively grabbed production capacity—chips for smartphones and tablets yield much higher profits than automotive-grade chips, so foundries naturally prioritized their orders. Add to this automakers' 'lean production' model with pitifully low inventory buffers—when Malaysia went into lockdown or Renesas' plant halted due to Japan's earthquake, there wasn't even emergency stock available. Today's smart vehicles use three times more chips than combustion-engine cars, with LiDAR and infotainment systems all competing for supply. This shortage won't be resolved for at least 2-3 years.
