Why the microchip shortage won’t go away


One year ago, millions of Americans were confident they had little to fear from a faraway viral epidemic called COVID-19.

In February 2021, many around the auto industry are confident that their livelihoods will not be affected by the spread of the global shortage in microchips.

But complications continue to mount, due to the wide array of semiconductor applications in modern cars and trucks.

Last week, Stellantis halted production of nine-speed transmissions at its Tipton Transmission Plant north of Indianapolis, furloughing 1,800 workers.

Vehicle assembly cutbacks at Stellantis followed similar recent moves by Ford, General Motors, Toyota, Honda, Nissan, Subaru, Volkswagen and Daimler.

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