The semi-conductor shortage has posed a serious problem for automakers across the
United States and across the globe since the onset of COVID19. This has increased auto prices
for consumers as a backlog of vehicles sit waiting on orders and the cost of parts continue to
increase. As a consumer the best thing to do right now if you are able is to be patient and wait
it out. Maintaining your current vehicle as best as possible including things like a regular full
service oil change can help make sure that your vehicle lasts as long as possible. If you are in
need of a full service oil change or not sure the best way to maintain your vehicle we are here
to help.
For some companies such as BMW and Mercedes Benz the chip shortage seems to be
easing up. Concerns for automakers has now shifted towards whether or not consumer
demand will hold up with the continued rise in interest rates and inflation. Certain automakers
such as Elon Musk, have a particularly negative outlook on the situation and have decided to
cut staff. However, surveys have proven to show that automakers will be able to continue to
raise their prices to help cope with the increasing cost in materials.
The chip shortage has seemingly eased for certain companies simply due to the
decrease in consumer electronics that use the same parts. However certain companies such as
Volvo have not had as much success as other companies like Volkswagen in having access to
these chips. Other companies like Mercedes Benz agreed to using a more expensive
semiconductor if the more affordable options were not available in order to make sure that
production did not slow.
