A world-wide shortage of microchips has forced automakers to slow or stop production of many cars. That has pushed car prices to record highs in both the new and used markets. Analysts have consistently predicted that the problem would ease in 2022. But now, a major chip maker is warning that it could last into 2023.
Backlog will take more than a year to clear
Japan’s Rohm Co.
is one of the largest suppliers of microchips to the automotive industry. Its largest clients include Toyota
“All of our production facilities have been running at their full capacity since September last year, but orders from customers are overwhelming,” Rohm CEO Isao Matsumoto told reporters in August. “I don’t think we can fulfill all the backlog of orders next year.”
Why this happened
The average new car contains