Ford believes chip shortage will halve the car production and lose US$2.5 billion this year

Since the second half of 2020, the problem of chip shortage has become the main theme of the semiconductor industry. At present, this problem has had an impact on global automakers, and its root cause is the competition between automakers and the consumer electronics industry for chip supply and many other factors.

On Wednesday, local time, Ford Motor said that the global chip shortage will have a greater impact on its business than previously expected. The company warned that chip shortages could reduce the company’s production in the second quarter of this year by half, before bottoming out.

The company also said that it is expected that the global chip shortage problem may ease this summer, but it may not be completely resolved until 2022.

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Ford predicts that the chip shortage will reduce its operating profit this year by 2.5 billion U.S. dollars to between 5.5 billion and 6.5 billion U.S. dollars. Previously, the company had stated that the impact of the chip shortage would be between US$1 billion and US$2.5 billion.

The company stated that its production in the first quarter was about 200,000 less than originally planned. The company’s chief financial officer, John Lawler, said that although Ford hopes to make up for some of the production losses later this year, the company’s production this year maybe 1.1 million less than originally planned.

It is reported that the problem of chip shortage has affected the automotive industry to a large extent, which has forced automakers around the world to cut production, and some have even been forced to suspend production.

On March 25 this year, Ford said that due to a global chip shortage, the company will suspend the production of F-150 pickup trucks at a factory in Michigan for a few days.