What is Causing the Chip Shortage?

Microchip
 

Has finding the perfect car for your Dayton lifestyle been difficult over the past few months? If you don’t know why, it can be frustrating. Your experience is a direct reflection of the current chip shortage. It is having a major impact on not just the automotive industry, but a variety of products around the world. So, what is the chip shortage and what is causing the chip shortage? Get all of your questions and concerns answered by Dave Arbogast Buick GMC. We’ll also help you strategize so you can drive your dream vehicle on Springfield in no time!

 

 

What is the Chip Shortage for Cars?

As you may have noticed while doing your car research, there are a variety of new technologies available in new model years. Chips make all of those cool features possible. They also support the electrical functions and powertrain of the vehicle. In fact, new cars utilize an estimated 1,400 to 3,000 microchips per year, making up 15% of the world’s chip production. They are important to your overall driving experience. Without chips, simple tasks, such as changing the position of your seat, are impossible. 

During the pandemic, most semiconductor chips were manufactured for entertainment devices, since people weren’t buying as many cars. In some cases, COVID-19 completely halted production in various factories, reducing the amount of chips made per month. The auto market has been struggling to regain its footing, now that the pandemic has ended and people are once again shopping for cars. Some chip shortages could last into 2024, even as the supply of materials needed to manufacture chips improves. 

Adapting to the Automotive Chip Shortage

Now that you know what chip shortage is, it’s time to find a new strategy that will benefit you in this particular situation: 

  • Consider Used Vehicles: Take used vehicles into account as you shop. Many of them have the same bells and whistles as current model years and are typically more affordable. 
  • Review Vehicle History: Once you’ve found a used model that you’re interested in, carefully review the vehicle history. Ideally, you want a vehicle that has a clean title and has been kept up to date on all scheduled maintenance. You can take this information to our service department to make sure you understand everything that’s on the history report correctly. 
  • Be Flexible: Rather than limit yourself to specific model, trim or model year, keep an open mind and give yourself some options. You’ll be surprised at what you might like!

Find Your Perfect Vehicle at Dave Arbogast Buick GMC Today!

Now that you know what the chip shortage is for cars, you can fine tune some of the strategies above to create the best plan for you. Feel free to contact our finance department if you have any questions! 

 

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Dave Arbogast Buick GMC 39.98677, -84.20253.