Japan’s Rohm Co. says that vital semiconductors for automobiles and industrial machinery will likely remain in short supply at least throughout next year, adding to ominous warnings about further fallout from the global chip crisis.
The Kyoto-based chipmaker, whose customers include Toyota Motor Corp., Ford Motor Co. and Honda Motor Co., has been hampered by a severe shortage of key materials as well as full production lines, said CEO Isao Matsumoto. “All of our production facilities have been running at their full capacity since September last year, but orders from customers are overwhelming,” Matsumoto said in an interview this week. “I don’t think we can fulfill all the backlog of orders next year.”
Ford Idles Three Light Truck Plants
The automaker said its Oakville Assembly Plant in Canada, as well as Kansas City Assembly Plant in Missouri, will be down the week of Aug. 30. Ford’s Dearborn Truck Plant in Michigan will operate just one shift.
Ford has been hit especially hard by the chip crisis, although the company plans to work through “most” of some 60,000 to 70,000 unfinished vehicles that are sitting in lots around assembly plants by the end of the third quarter.
Aug 2021
Mercedes Halts V8 Models for MY2022
Mercedes has announced that a significant number of V8-engined models will not be offered stateside for the 2022 model year. Mercedes among other automakers has been affected by the global chip shortage and this decision has been made in an effort to save their chip allocation. Vehicles being affected include:
– AMG C63 S Couple/Cabriolet
– AMG GLC63 S Couple
– AMG GLC 63 SUV
– AMG GLC 63 S SUV
– AMG E 63 S
– AMG E 63 S Wagon
– AMG GT 53
– AMG GT 63 S
– GLE 580 4MATIC
– GLS 580 4MATIC
– AMG GLE63 S SUV
– AMG GLE63 S Coupe
– AMG GLS63 SUV
– Maybach GLS 600 4MATIC
– G550
– AMG G63
Aug 2021
2022MY Buick Envision Fleet Order Cutoff
Effective immediately, no further fleet orders can be accepted for the 2022MY Buick Envision.
GM Allocation
GM will be requiring a signed MY22 Competitive Assistance Program (CAP) agreement prior to MY22 vehicle order allocation. The GM account team was provided their specific allocation volumes, by vehicle line on Monday, August 16, 2021. Allocation is provided to each region and the sales representatives within that region distribute amongst their clients. Order Entry Dates for the below vehicles are as follows:
Thursday August 19th
– Chevrolet Tahoe/Suburban
– GMC Yukon/Yukon XL
– Cadillac Escalade/Escalade ESV
– Chevrolet Silverado
– Chevrolet Colorado
– GMC Sierra
– GMC Canyon
Thursday September 2nd
– Chevrolet Express
– GMC Savana
– Chevrolet Silverado
– GMC Sierra
Aug 2021
Malaysia Chip Shortage Shifts Production to China
With new infections still on the rise, the Malaysian government has ordered many businesses and factories to shut down, affecting production in a wide range of sectors, especially the packing and testing of chips and passive component manufacturing.
Dozens of semiconductor companies have facilities in Malaysia, including international giants such as Intel, Infineon Technologies and STMicroelectronics. Malaysia accounts for 13% of the global sealing and testing market, and it is the world’s 7th largest semiconductor exporter, according to media reports.
Ford Halts F-150 Plant for a Week
Ford Motor Co. said Wednesday it will temporarily shutter its Kansas City assembly plant that builds its bestselling F-150 pickup truck due to a semiconductor-related parts shortage as a result of the COVID-19 pandemic in Malaysia. The one-week shutdown will begin Monday, the automaker said, adding it will also cut a shift on Saturday.
VW Expects Further Production Delays
The auto industry is facing renewed strains after a recovery in demand stretched supply chains earlier this year, with COVID-19 outbreaks in Asia hitting both chip production and operations at commercial ports.
“We currently expect supply of chips in the third quarter to be very volatile and tight,” VW said in answer to a request for comment by Reuters on Thursday. “We can’t rule out further changes to production.”
The latest production woes follow news that German chipmaker Infineon had been forced to suspend production at one of its plants in Malaysia in June due to a coronavirus outbreak. Infineon CEO Reinhard Ploss said Aug. 3 that the automotive industry faced “acute supply limitations across the entire value chain” and it would take until well into 2022 for supply and demand to be brought back into balance.
Toyota N.A. Faces 1st Chip Setback
As part of Toyota Motor Corp.’s first major round of global production cuts since the semiconductor shortage began, North American factories alone will lose up to 170,000 vehicles through September because of the raging COVID-19 pandemic and ongoing supplier disruptions.
“Due to COVID-19 and unexpected events with our supply chain, Toyota is experiencing additional shortages that will affect production at most of our North American plants,” Toyota Motor North America said in a statement. “While the situation remains fluid and complex, our manufacturing and supply chain teams have worked diligently to develop countermeasures to minimize the impact on production. … We do not anticipate any impact to employment at this time.”
GM Idles Additional Plants
General Motors will add downtime at several crossover and sedan plants because of the global microchip shortage, the automaker said Thursday.
Lansing Delta Township Assembly: The Michigan plant will be idle for an additional two weeks. Production is expected to restart Sept. 6th. The plant, which builds the Chevy Traverse and Buick Enclave, has been down since July 19th.
Spring Hill Assembly: The Tennessee plant will be down starting Aug. 23rd. The plant, which builds the Cadillac XT5 and XT6 and the GMC Acadia, is expected to resume production Sept. 6th.
Ramos Arizpe Assembly: Production of the Chevy Blazer at the Mexico plant will be down the weeks of Aug. 23rd and Aug. 30th. GM expects to restart Blazer production Sept. 6th. The plant’s Chevy Equinox production stoppage will extend by two weeks and is expected to resume Sept. 20th.
CAMI Assembly: The Canada plant, which builds the Equinox, will take an additional two weeks of downtime and is expected to restart Sept. 20th.
San Luis Potosi Assembly: The plant in Mexico, which builds the Equinox and GMC Terrain, will add two weeks of downtime and is expected to restart Sept. 20th.
Lansing Grand River: The plant in Michigan will extend downtime of Cadillac CT4 and CT5 sedan production until Sept. 20th. Chevrolet Camaro production will not be affected, and the plant will continue limited production of the CT4-V and CT5-V Blackwing performance sedans.
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