Want to know everything about the European markets? Every day, before you open your email. Sign up here.In an interview with Le Parisien published on Sunday, the CEO of Stellantis NV said that a shortage of microchips could last until late 2023 and be “very complicated.”
Carlos Tavares thinks things will get better after that, especially since the market for consumer electronics is falling. The CEO of the car company also thinks that the tens of billions of euros invested in Europe and the US to boost local microchip industries will increase supply in the long run.
“There will be a lot of microchips when these investments pay off,” Tavares said in the interview. “But it will take at least three years.”
Microchips are hard to come by for car makers because the industry that made them switched its focus to consumer electronics during the pandemic. In the same interview with Le Parisien, Luca de Meo, the CEO of Renault SA, said that at the time, carmakers had cut their orders for microchips, so potential customers couldn’t go to dealerships.
“Now it’s hard for me to find the basic microchip that moves the window up or down,” de Meo said. “I can’t drive the car without it.”
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