Hyperdrive

No, Team Biden, Carmakers’ Chip Crisis Isn’t Getting Better

Auto output goals keep getting cut on lack of crucial silicon
Semiconductor companies say tight supply will last into 2022

U.S. Commerce Secretary Gina Raimondo discusses the Biden administration's efforts to address the ongoing semiconductor shortage and supply chain disruptions impacting industry, closing the labor skills gap, and the effectiveness of tariffs on Chinese steel. She speaks on "Bloomberg Markets." (Source: Bloomberg)

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By Ian King and Debby Wu

August 5, 2021 at 9:03 AM UTC

Updated on

August 6, 2021 at 12:19 AM UTC

This article is for subscribers only.

In late July, U.S. Commerce Secretary Gina Raimondo said things were getting better for automakers suffering chip shortages that have shuttered plants and crippled production.

Not that much better, it turns out. This week, suppliers of those vital electronic components warned the problem is far from over and said the car industry’s rapid pivot to electric vehicles may further stretch their ability to catch up. Their customers share the cautious view.