Auto chip shortage to end in Q4 - Electronics Weekly

A statement from the Taiwan Economics Ministry says: “Though the automotive chip industry chain is long and complex, with the full cooperation of our country’s firms, the industry estimates that supply and demand for auto chip production by chip manufacturer should reach a balance in the fourth quarter of this year.”

The governments of the USA and Germany, lobbied by their car industries, have pressured the Taiwan government to ask the island’s chip manufacturers to resolve the shortage.

TSMC expanded auto chip production by 30% between January and June 2021 compared to 2020 production levels.

The Economics Ministry’s statement added that Taiwan “will continue to work together to build a safe, trustworthy, and resilient supply chain, and deepen economic and trade relations to lay a solid foundation for economic recovery after the pandemic.”

In July, TSMC said the auto chip shortage would gradually ease from Q3 onwards although it expected overall semiconductor capacity to be tight – possibly into next year.

“I would expect that we will see a supply-constrained environment for the vast majority of next year,” says Nvidia CEO Jen Hsun Huang.

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