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General Motors Concerned Over Semi-Conductor Chip Shortage

General Motors is sounding the alarm over an ongoing semi-conductor chip shortage that may force it to limit its production output in the future.

Today’s vehicles use an abundance of semiconductor chips for their various electronic systems, including powertrain control systems, advanced safety systems and in-car entertainment, among more. Automakers must compete with companies in the consumer electronics sector for the limited global supply of semiconductors, however, which may cut into their ability to maintain regular production output of certain vehicles.

According to The Detroit Bureau, GM, Renault, Nissan, Mercedes-Benz, Volkswagen and other major automakers have recently expressed concern over the worsening semi-conductor shortage. Additionally, Bosch, the world’s largest automotive supplier and a major manufacturer of electronic automotive components, has acknowledged that has been receiving “significantly fewer” chips than expected in recent months.

Other major suppliers, like Valeo and Continental, have expressed similar concerns as well, The Detroit Bureau reports.

Nissan recently express concern over the global semi-conductor supply after it said it would be forced to revise production output at its Oppama Plant in Japan due to semi-conductor shortage. The Oppama facility builds the Nissan Leaf EV, Nissan Note hatchback and Nissan Syplhy compact sedan.

“A global shortage of semiconductors has affected parts procurement in the auto sector,” Nissan said in a prepared statement released this week. “As a result of this shortage, the Oppama Plant in Japan will adjust production in January, reducing production of the Nissan Note.”

Compounding the problem was a recent fire at a major chip plant owned by Japanese company Asahi Kasei Corp in Japan back in October. Setting up a new chip plant can be complex and extremely costly, making a fire such as this a major setback for both the automotive industry and the consumer electronics industry.

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Sam loves to write and has a passion for auto racing, karting and performance driving of all types.

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Comments

  1. Have you seen the new GM logo 🤮🤢 Is Mary tying to bankrupt the company again? She needs to go and soon.

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    1. I keep coming back to see when they have a article on it. That thing is terrible

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    2. Not a fan of the new logo, but it is just a logo!

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    3. Of course, Because so many people consider the corporate logo (that doesn’t appear on any visible surfaces inside or outside of the car) when purchasing a GM vehicle.

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      1. I remember a GM corporate medallion on almost every GM car made not so long ago. I found it strange then, but now it would just be an eyesore.

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      2. It’s not going to be on the window? I have GM tempered glass with the logo on it

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    4. Ehhh I am neutral about the LOGO because as someone said, it doesn’t really appear on any vehicles. Its only for the GM corporate website(which nobody visits) and outside GM buildings including the HQ.

      Reply
  2. I see a case for bringing more high tech manufacturing back to the west. Plenty of room in Mexico, Canada, and the USA. Last time I checked those three countries have a good trade agreement as of recently. So let us build more electronics in North America. As the demand is never going to stop for semi conductors. Unless we are all ended by an EMP.

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    1. Not an issue with room, but with energy and environmental regulations.

      Energy is the biggest. One chip fab = one natural gas generator unit (1/2 to 1/4 of a power plant). Fabs require power 24/7, any interruption, no matter how short, costs millions of dollars in ruined products. Shutting down base load plants like coal and replacing them with unreliable sources like solar and wind drives fabs to countries with cheap coal and oil energy.

      Second, there are very nasty chemicals used in chipmaking. Environmental regulations and global warming laws are another reason why chips have gone to Taiwan, South Korea, and now China.

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      1. I am aware of the energy demands. That is where good planning comes to play. Governments could plan with utilities to build more nuclear plants. High tech jobs will bring a good eco system to wherever the plants could be placed.

        I am aware of the environmental problems. This is my biggest issue with the lithium ion mining. I know how bad it damages the environment in China. For myself I try to be consistent, so for me it is not good just because these processes are not in my back yard. China has some massive projects going on that will change the landscape of Asia indefinitely. With China people are definitely using the out of sight out of mind mindset.

        Companies will always take the path of least resistance I know. But if people are truly serious about us preserving and taking care of our planet. Every country in the world should have the appropriate standards in my opinion when it comes to mining and manufacturing. Wishful thinking as of today but with each passing year I think humanity will become more united in this regard.

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  3. Golden opportunity for a Silicon Valley company to start making chips in….Silicon Valley again….

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  4. Silicon Valley never really made much in Chips. They are more a place where the design and engineer them.

    Now this would b3 a prime time for GM to make chips not only for their own needs but they can make them for others.

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    1. FLIP CHIPS, SIMICONDUCTORS AND OTHER ELECTRIC PARTS USED TO BE MADE IN KOKOMO INDIANA AT THE GM/ DELCO ELECTRONIC PLANT. THERE IS A “CLEAN” ROOM, FAB 3, 6 & 8. G.M. CAN RETOOL AND RESTART PRODUCTION AT DELCO IN KOKOMO INDIANA. THIS WOULD SAVE AND MAKE G.M. LOTS OF MONEY!!!!!

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  5. GM had a fab in kokomo Indiana but they shut it down, I’m sure it was the right thing to do unless you like to plan ahead

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  6. the middle east used to have us by the nuts over oil and foolish wars were the result now china has us by the nuts over many things and the USA cannot play the war card with china so the only thing we can do is be on the loosing end of trade agreements we can have Hunter do the negotiations he has experience in China and he is the most intelligent person Joe knows in the whole world so that is the best path to the best deal we can get

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  7. It’s to bad that GM shut down the operations in Kokomo,In. I worked there for more than 30 years. And I worked at some of the fabs. It is so sad for me to see parking lots empty and at one time you had to get there early unless you wanted to park in the back 40.

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  8. I work for a supplier and there’s a risk our output will be diminished by the end of this month due to the shortage of micro.

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  9. We are ready here in Endicott , NY for a Chip Fab Plant, LOTs of empty IBM buildings ( Huron Campus) Please come!

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  10. La vida no es un cuento de hadas… Si pierdes un zapato a media noche no eres una princesa, eres una borracha…

    Reply
  11. Yo tenía náuseas y hormigueo en todo el cuerpo. Yo estaba o bien enamorado o tenía la viruela…

    Reply

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