John Irwin

Suppliers have been through three years of challenges and setbacks. They might be in for a fourth.

Automakers axed nearly 70,000 vehicles from their global production plans last week as the microchip shortage continues into its third year, according to the latest estimate by AutoForecast Solutions.North American automakers will cut nearly 20,000 vehicles out of their production schedules this week as a new round of microchip shortages dashed hopes that the global supply problem was clearing up. 
The eliminations are part of nearly 70,000 factory cuts around the world, according to the most recent forecast from AutoForecast Solutions, illustrating that the microchip shortage is still an issue in its third year.
Companies are cutting vehicles from factory schedules in every automaking region in the world, according to AFS, which has tracked the microchip shortage’s impact on automakers since it began in 2021.
Asia appears to be the most impacted region, with China and the rest of the continent accounting for about 69 percent of all lost vehicles globally so far this year.
AFS now projects that about 2.78 million vehicles will have to be dropped through the end of the year, up slightly from 2.77 million a week earlier. But those cuts come on top of roughly 14.9 million vehicles that were lost in 2021 and 2022.

Automakers cut no additional vehicles from their 2023 worldwide production plans this week because of the microchip shortage, as they continue to assess how economic conditions will impact vehicle demand.

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The deal will give Magna access to Veoneer's suite of camera and radar systems, as well as its driver monitoring technology and domain controllers. Magna will gain about 2,200 engineers.

Automakers expect to cut fewer than 3 million vehicles from their production schedules because of the microchip shortage in 2023, a significant improvement from this year.

EV battery makers will need to learn to manage data in new ways and consider different business models in order to bring new technologies to market faster, executives said.

North American plants were hit hard by the semiconductor shortage, which continues to linger even as automakers eye improvements in 2023.

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