Semiconductor Shortage Bites: Ford Cuts Q2 Production by 50% | Wolf Street

If an auto assembly plant runs out of just one component that couldn’t be delivered because the component maker had run out of one type of semiconductor – of the thousands of semiconductors that go into a modern vehicle – the vehicle cannot be built, or cannot be finished and sold, and production halts. That’s essentially the problem that the entire auto industry is now facing.

This semiconductor shortage that is now crushing output in the auto industry is another element that will muck up the inflation picture.

Semiconductor Shortage Bites: Ford Cuts Q2 Production by 50% | Wolf Street