The shortage of chips is getting worse and may extend into next year

The global shortage of chips continues to worsen. Technology giants Apple and Samsung Electronics have already joined carmakers on three continents struggling with a shortage of these components. They warn that the chip crisis will result in reduced production and loss of revenue. In less than 12 hours, the Japanese Honda Motor announced that it would stop production at three domestic plants, the BMW Group announced a reduction in work changes in factories in Germany and England, and Ford Motor cut its profit forecast for this year due to chip shortages, which according to him will be extended until next year. At the same time, the American manufacturer of construction and mining equipment Caterpillar warned that it may not be able to satisfy the demand for machines. Electronics manufacturers, who benefited from the growing demand for phones, laptops, game consoles and other devices during the new coronavirus pandemic, have also been hit by a shortage of chips. Apple director Luca Maestri has warned that supply restrictions will affect sales as early as the current third quarter of its fiscal year. Meanwhile, chip vendors are reporting strong sales growth and promise billions in investment to expand capacity to keep pace with demand. Qualcomm, the world's largest manufacturer of smartphone chips, said demand for mobile phones was rising sharply as life returned to normal in some countries following pandemic blockades. STMicroelectronics, a key supplier of chips to automakers, saw its automotive division's profit grow by 280% in the first quarter. Samsung, which is both a manufacturer and a consumer of chips, said on Thursday (April 29) that the lack of components will contribute to a decline in sales and profit this quarter in its mobile division, which produces popular Galaxy smartphones. The lack of key semiconductors has forced the entire automotive industry to reduce production, leading to a decline in vehicle stocks at authorized dealers at a time when blockages are easing. "The second quarter will be worse for carmakers than the first quarter," said analysts at Korean company Hana Daetoo Securities, who also fear that chip shortages could last longer, perhaps until next year.