Will Chip Shortage in Automotive Sector Affect Prices?

Will the mass of Jeeps in the automotive sector affect the prices?
Will the mass of Jeeps in the automotive sector affect the prices?

One of the most devastating effects of the pandemic was in the production / supply process of semiconductor chips that take up a lot of space in our lives. Some automotive factory in Turkey was a break in production. The problem experienced in the minds of many citizens "Will the chip crisis in the automotive sector cause a price increase?" brought the question.

In the automotive industry, which has a trillion dollar volume, the problem of semiconductor chip supply arose. Due to the chip crisis, many companies announced that they stopped production one after another. After the chip shortage and the statements from companies, citizens said, "Will the chip problem affect automobile prices?" looking for an answer to the question.

What Is At The Base Of The Problem?

In the news in TRT News, With technology researcher Erdi Özüağ, “What is the starting point of all these experiences? How was the process unpredictable? What kind of roadmap will the automotive industry, struggling with the chip shortage, follow? " such questions were answered.

Özüağ first draws a general framework… Describing what has happened as a "wide-ranging chip crisis", he points out that the crisis has a wide range of effects, from computers to graphics cards, phones to game consoles outside the automotive industry.

Chip Factories Produced to Other Fields

According to Özüağ, the main cause of the crisis is a pandemic, but every sector experiencing this trouble has a specific justification for it.According to Özüağ, the problem in consumer electronics products lies in the explosion of demand due to working from home and distance education.

In automotive, on the other hand, due to the concern that the sales will decrease due to the pandemic and the factories being closed in the first period, the order reduction in components such as chips stands out. Özüağ said, “However, there has been a rapid turnaround in the automotive sector. As such, the desired production capacity for sufficient chip production could not be achieved this time. Because when things stopped in automotive, chip factories had already started production for other areas, ”he says.

Wouldn't It Be Without Chips?

It was Özüağ overall bahsedince of the process we both Renault and Tofaş Order in Turkey ', the production' we remind the decision ... in many world all around for it stopped production at the plant, "What the usage of this chip?" We are curious about the answer to the question ...

Stating that automobiles use a large number of chips with different features and levels of development, Özüağ said, “Although the number varies according to the brand and model, the control center of the engine we call ECU in general, the processing platform that manages the screens and infotainment systems in the vehicle we call infotainment and the autonomous system that the vehicle has. "Chips are used in places such as high performance platforms to manage driving characteristics."

What will affect prices?

Was Özüağ, the establishment of a new chip factory as well as billions of dollars after sharing the information it requires a long time, especially in Turkey and local / national car had to say about their views on the TOGG:

“Analysis and expectations about the industry predict that normalization will not happen before the second half of the year, maybe even before the end of the year. Since it is a capacity problem, it will surely be overcome, everyone is sure of this. It would not be right to speculate about the impact of all these experiences on vehicle prices. However, it should not be forgotten that we are going through a period of increasing costs.

How Would Impact in Turkey?

Cars ecosystem can not be expected to live in such a deep crisis affecting our country, because Turkey, passenger car and commercial vehicle production in one of the important centers of the global system ...

So, will the ongoing crisis affect the domestic automobile project TOGG? When we consider the production schedule and the targeted production amount for the first year, we can expect that these problems will be overcome in terms of both the production period and the amount of supply. If there is a more permanent and bigger crisis in the global ecosystem that we cannot predict as of today, then things may change.

Armin

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