The automotive industry is heavily reliant on semiconductor chips for various critical functions, including engine management, infotainment systems, and advanced driver-assistance systems (ADAS). However, the global shortage of semiconductor chips, which emerged in 2020 and continued into 2022, has severely impacted automotive original equipment manufacturers (OEMs) worldwide. To counter this challenge and navigate the crisis, automotive OEMs have implemented several mitigation strategies, and their financials indicate that most have returned to pre-pandemic growth rates.
Nevertheless, the semiconductor crisis is far from over for the automotive industry. Most of the measures taken to tide over the crisis (for example, government litigation to enable capacity addition and increase supply and expansion plans, which several chip suppliers undertook) are yet to bear fruit. Semiconductor manufacturing is an extremely complex process with long lead times, making it impossible to increase or decrease supply within a brief period, which resulted in the crisis in the first place. Setting up chip manufacturing facilities takes a considerable period of about 3-4 years. Despite this, most of the automotive industry has emerged from the crisis and is moving ahead. Moreover, different OEMs have had varying impacts on their operations, depending on their geographic location and a gamut of other factors.
This Frost & Sullivan study offers an in-depth strategic analysis on OEM performance during the crisis and the various measures being taken to tackle it.
Key Issues Addressed
- How important is the semiconductor chip in the automobile?
- Who are the key market participants? What are their market shares?
- What is the sequence of events leading to the crisis?
- How has the automotive industry contributed to the crisis? What is a brief timeline of the various measures it has adopted since the crisis commenced?
- Have all the OEMs been impacted uniformly? What has caused the differential impact? Is there a geographical bias, and why?
- Who are the least-impacted and most-impacted OEMs? What strategy do they employ?
- What are some interesting partnerships among stakeholders?
Author: Sandhya Jesu
Why Is It Increasingly Difficult to Grow?
The Strategic Imperative 8™
The Impact of the Top 3 Strategic Imperatives on the Automotive Industry During the Chip Shortage Crisis
Growth Opportunities Fuel the Growth Pipeline Engine™
Key Strategies to Mitigate the Chip Shortage Crisis
Major Automotive Chip Suppliers
Benchmarking OEM Strategies for the Chip Shortage
Ford: Performance Overview
Interesting Automotive Semiconductor Chip Manufacturing Partnerships
Scope of Analysis
Growth Drivers
Growth Restraints
Events Leading to the Semiconductor Shortage
Tackling the Semiconductor Shortage
Production Cuts Lead to More Production Losses.
Key Strategies to Mitigate the Chip Shortage Crisis
Other Suggested Measures
Key Findings: The Crisis So Far
Semiconductor Chips in Vehicles: An Overview
Understanding the Semiconductor Industry
Semiconductor Manufacturing Capacity Distribution
Major Automotive Chip Suppliers
Chip Manufacturing Value Chain
The Persistent Semiconductor Crisis
Key Findings: Semiconductors for the Automotive Industry
OEM Impact Analysis
Overcoming the Chip Shortage Crisis: Strategy Overview
Ford: Performance Overview
Ford: Strategies Undertaken
GM: Performance Overview
GM: Strategies Undertaken
Wolfspeed: Case Study
Volkswagen: Performance Overview
Volkswagen: Strategies Undertaken
CARIAD: Case Study
Honda: Performance Overview
Honda: Strategies Undertaken
Toyota: Performance Overview
Toyota: Strategies Undertaken
Tesla: Performance Overview
Tesla: Strategies Undertaken
Hyundai-Kia: Performance Overview
Hyundai-Kia: Strategies Undertaken
Benchmarking OEM Strategies for the Chip Shortage
Interesting Automotive Semiconductor Chip Manufacturing Partnerships
Regional Highlights: the United States
Strategies: By Region
Strategies: Major Pitfalls
Key Findings: Widely Adopted Strategies
Growth Opportunity 1: AI-driven Design to Reduce and Optimize Chip Usage in Automobiles
Growth Opportunity 1: AI-driven Design to Reduce and Optimize Chip Usage in Automobiles (continued)
Growth Opportunity 2: Automakers to Differentiate Themselves and Grow through their Chip Strategies
Growth Opportunity 2: Automakers to Differentiate Themselves and Grow through their Chip Strategies (continued)
Growth Opportunity 3: Use of In-vehicle Software to Eliminate Dependence on Semiconductor Chips
Growth Opportunity 3: Use of In-vehicle Software to Eliminate Dependence on Semiconductor Chips (continued)
Your Next Steps
Why Frost, Why Now?
List of Exhibits
List of Exhibits (continued)
Legal Disclaimer
List of Figures- Automotive Chip Suppliers: Percent Revenue Share, Global, 2022
- Automotive Chip Suppliers: YoY Revenue Share Growth, Global, 2022
- Ford’s Net Income/Loss, Global, FY 2007-FY 2022
- Ford’s Revenue, Global, FY 2008-FY 2022
- Automotive Semiconductor Shortage: Growth Drivers, Global, 2023-2030
- Automotive Semiconductor Shortage: Growth Restraints, Global, 2023-2030
- Automobile Production, Global, 2000-2023
- Number of Vehicles OEMs Removed from Production due to the Semiconductor Shortage, Global, 2021-2023
- Semiconductor Manufacturing Capacity, Global, 2021
- Semiconductor Foundries’ Revenue Share by Country, Global, 2020-2022
- IC Sales Growth Rates by Product Category, Global, 2021
- Semiconductor Demand Share, Global, 2020
- GM's Vehicle Sales, Global, 2010-2022
- GM's Revenue, Global, FY 2013-FY 2022
- GM’s Adjusted Earnings Before Interest and Taxes (EBIT), Global, FY 2016-FY 2022
- Volkswagen’s Vehicle Production, Global, 2006-2022
- Volkswagen’s EV Sales, Global, 2013-2022
- Volkswagen’s Operating Profit, Global, FY 2006-FY 2022
- Volkswagen’s Sales Revenue, Global, FY 2006-FY 2022
- Honda’s Automobile Sales, Global, FY 2002-FY 2022
- Honda’s Revenue, Global, FY 2002-FY 2022
- Honda’s Operating Profit, Global, FY 2016-FY 2022
- Toyota’s Vehicle Production, Global, FY 2007-FY 2022
- Toyota’s Net Revenue, Global, FY 2012-FY 2022
- Toyota’s Operating Income, Global, FY 2009-FY 2022
- Tesla’s Revenue, Global, FY 2008-FY 2022
- Tesla’s Net Income/Loss, Global, FY 2014-FY 2021
- Hyundai Motor Group’s Sales Revenue, Global, FY 2011-FY 2021
- Hyundai Motor Group’s Operating Profit, Global, 2015-2022
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The automotive industry is heavily reliant on semiconductor chips for various critical functions, including engine management, infotainment systems, and advanced driver-assistance systems (ADAS). However, the global shortage of semiconductor chips, which emerged in 2020 and continued into 2022, has severely impacted automotive original equipment manufacturers (OEMs) worldwide. To counter this challenge and navigate the crisis, automotive OEMs have implemented several mitigation strategies, and their financials indicate that most have returned to pre-pandemic growth rates.
Nevertheless, the semiconductor crisis is far from over for the automotive industry. Most of the measures taken to tide over the crisis (for example, government litigation to enable capacity addition and increase supply and expansion plans, which several chip suppliers undertook) are yet to bear fruit. Semiconductor manufacturing is an extremely complex process with long lead times, making it impossible to increase or decrease supply within a brief period, which resulted in the crisis in the first place. Setting up chip manufacturing facilities takes a considerable period of about 3-4 years. Despite this, most of the automotive industry has emerged from the crisis and is moving ahead. Moreover, different OEMs have had varying impacts on their operations, depending on their geographic location and a gamut of other factors.
This Frost & Sullivan study offers an in-depth strategic analysis on OEM performance during the crisis and the various measures being taken to tackle it.--BEGIN PROMO--
Key Issues Addressed
- How important is the semiconductor chip in the automobile?
- Who are the key market participants? What are their market shares?
- What is the sequence of events leading to the crisis?
- How has the automotive industry contributed to the crisis? What is a brief timeline of the various measures it has adopted since the crisis commenced?
- Have all the OEMs been impacted uniformly? What has caused the differential impact? Is there a geographical bias, and why?
- Who are the least-impacted and most-impacted OEMs? What strategy do they employ?
- What are some interesting partnerships among stakeholders?
Author: Sandhya Jesu
| Deliverable Type | Market Research |
|---|---|
| Author | Sandhya Jesu |
| Industries | Automotive |
| No Index | No |
| Is Prebook | No |
| Keyword 1 | Automotive Industry Market Research |
| Keyword 2 | Chip Shortage Update |
| Keyword 3 | Semiconductor Shortag |
| List of Charts and Figures | Automotive Chip Suppliers: Percent Revenue Share, Global, 2022~ Automotive Chip Suppliers: YoY Revenue Share Growth, Global, 2022~ Ford’s Net Income/Loss, Global, FY 2007-FY 2022~ Ford’s Revenue, Global, FY 2008-FY 2022~ Automotive Semiconductor Shortage: Growth Drivers, Global, 2023-2030~ Automotive Semiconductor Shortage: Growth Restraints, Global, 2023-2030~ Automobile Production, Global, 2000-2023~ Number of Vehicles OEMs Removed from Production due to the Semiconductor Shortage, Global, 2021-2023~ Semiconductor Manufacturing Capacity, Global, 2021~ Semiconductor Foundries’ Revenue Share by Country, Global, 2020-2022~ IC Sales Growth Rates by Product Category, Global, 2021~ Semiconductor Demand Share, Global, 2020~ GM's Vehicle Sales, Global, 2010-2022~ GM's Revenue, Global, FY 2013-FY 2022~ GM’s Adjusted Earnings Before Interest and Taxes (EBIT), Global, FY 2016-FY 2022~ Volkswagen’s Vehicle Production, Global, 2006-2022~ Volkswagen’s EV Sales, Global, 2013-2022~ Volkswagen’s Operating Profit, Global, FY 2006-FY 2022~ Volkswagen’s Sales Revenue, Global, FY 2006-FY 2022~ Honda’s Automobile Sales, Global, FY 2002-FY 2022~ Honda’s Revenue, Global, FY 2002-FY 2022~ Honda’s Operating Profit, Global, FY 2016-FY 2022~ Toyota’s Vehicle Production, Global, FY 2007-FY 2022~ Toyota’s Net Revenue, Global, FY 2012-FY 2022~ Toyota’s Operating Income, Global, FY 2009-FY 2022~ Tesla’s Revenue, Global, FY 2008-FY 2022~ Tesla’s Net Income/Loss, Global, FY 2014-FY 2021~ Hyundai Motor Group’s Sales Revenue, Global, FY 2011-FY 2021~ Hyundai Motor Group’s Operating Profit, Global, 2015-2022~ |
| Podcast | No |
| WIP Number | PDBF-01-00-00-00 |
OEM Risk Mitigation Strategies for the Chip Shortage
OEM Risk Mitigation Strategies for the Chip Shortage
The Chip Shortage Crisis has Permanently Impacted the Automotive Industry, Rendering it Wary of Supply Competition, and it is Rebalancing Global Automotive Chip Supply Chains
RELEASE DATE
02-Aug-2023
02-Aug-2023
REGION
Global
Global
Deliverable Type
Market Research
Market Research
Research Code: PDBF-01-00-00-00
SKU: TEMP_2023_73
$4,950.00
In stock
SKU
TEMP_2023_73