Data chip problems dwindle at German car giants

Mercedes-Benz and BMW are among the car manufacturers who say they now have enough computer chips to produce them entirely.

Mercedes-Benz plants are having far fewer problems with chip shortages than last year, according to the automaker. The photo is from a factory in Beijing, China earlier this year. Photo: Jade Gao / AFP

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The shortage of computer chips has hit the auto industry around the world during the Corona pandemic over the past two years. Many German car manufacturers write that it is precisely these challenges that mitigate something Bloomberg.

– We’re still watching it from week to week, but so far we’ve had almost no problems with production almost all over the world, Jörg Poerzer, head of Mercedes’ production and supply chain management, tells the news agency.

According to Mercedes Summit, delivery problems still pop up here and there, but they don’t compare to what they were last year.

Jörg Poerser, a senior Mercedes-Benz, is among the leaders of German car manufacturers who can talk about minor production disruptions. Photo: Ilya Novell / Reuters

fully produced

BMW, Mercedes-Benz and Daimler Truck, which produces, among other things, Mercedes trucks and buses, indicate that production is no longer significantly affected by the fact that there are not enough computer chips available.

It’s not perfect, but it’s better than last year, Karen Radstrom at Daimler Trucks tells Bloomberg.

It says better access to components means it is now beginning to weed out some backlogs, and reduce the backlog.

– I try not to celebrate too early. Radstrom adds that we are still following the situation closely.

Long waiting times for an electric car: You bought a used car for the same price as a new car

BMW stated that the situation is now more stable. At the same time, the company spokesperson assures that they are closely following from day to day, and do not rule out new problems in the coming weeks and months.

Competitor Volkswagen is now seeing stable computer chip deliveries, although the company also stresses here that there is a great deal of uncertainty about the coming months.

Employees of the Volkswagen plant in Zwickau, Germany are assembling electric cars in April of this year. Photo: FILIP SINGER / EPA

more optimistic

The Corona pandemic and the war in Ukraine contributed to bottlenecks, including at important ports, which led to delivery problems and delays in a number of goods.

Computer factories are central to modern cars, and their shortages have meant that auto factories around the world have had to cut back on production.

According to Bloomberg, one reason computer chip shortages have improved for German car manufacturers is that demand for electronic goods has fallen in light of higher price growth and weak economic prospects. Thus, these chips could go to the auto industry instead.

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Meanwhile, the economic outlook is raising concern among Tesla CEO Elon Musk, among others. In an internal email, Reuters was able to reach Musk and stated that the electric vehicle manufacturer should cut about 10 percent of its staff. This means nearly 10,000 Tesla jobs may be at risk.

“I have a very bad feeling about the economy,” the company’s founder, Elon Musk, said in the email, according to Reuters.

One would think that German automakers, for their part, have a more optimistic view of the future A recent study from Ifo . Institute. The outlook improved sharply in May, and the assessment of the current situation was also more positive than in April.