Semiconductor issues will hamper output well into 2023 and probably into 2024.
Global production losses in 2021 topped 10 million units, improving to about 3.5 million units in 2022. The competing forces of supply chain issues and lowered expectations will find chip-based losses falling below two million units – a sizable improvement, but not the 60% improvement last year. Recent announcements from Toyota and Volkswagen, among others, show the issue has yet to be resolved fully.
Inventory levels in North America are rising.
