Estimates of the number of cars cut from automakers’ production plans this year due to microchip shortages fell slightly last week.
In its latest estimate, AutoForecast Solutions said automakers worldwide cut 3.9 million vehicles this year, slightly better than the 3.93 million units reported a week earlier.
These numbers are a welcome reprieve for the industry. Looking ahead, microchip availability could improve next year as demand in other sectors eases, said Sam Fiorani, AFS vice president of global automotive forecasting.
“Shifting some manufacturing capacity to automotive chips could ease supply shortages and reduce production bottlenecks, possibly by the middle or late new year,” Fiorani wrote in an email.