US marques suffer most from microchip woes

Ford and Chevrolet have suffered more than any other carmakers from the global microchip shortage, according to data in a new report.

Marques worldwide have been struggling to meet customer demand for new cars as semiconductors are in short supply, leading to plant closures and shrinking inventories at dealerships. 

Figures from the Buy Shares website show the US car brands Ford and Chevrolet have taken the worst hit with almost 370,000 vehicles dropped from production schedules as of May.

Car factories were forced to close in the early days of the Covid-19 pandemic in 2020 and a number of marques cancelled orders for microchips that are essential to the manufacture and operation of new vehicles.

Demand for new cars has returned but with microchips in short supply worldwide companies are struggling to get back to normal productions levels, with experts suggesting the problem could take a couple of years to resolve.

An AutoForecast Solutions report reveals Ford has taken more than 230,000 vehicles out of production since the pandemic began, while Chevrolet has had to ditch plans for 140,800 units and Jeep about 138,700.

The Ford F-Series pickup, pictured, has been the biggest loser among the models with 109,710 fewer units being built, followed by the Jeep Cherokee and Chevrolet Equinox with drops of 98,584 and 81,833 respectively.

Analysts say the combined effects of semiconductor woes and production cuts has significantly dented the stock price of US carmakers. 

Statistics show the combined market cap of the “Big Three” – General Motors, Ford and Chrysler Stellantis – plunged by US$18.8 billion in June.