18 May 2022 -
 General

Nissan’s chip shortage becomes ‘new normal’ – Reuters

nissan

According to Reuters, Japan’s third-largest carmaker, Nissan, is grappling with a global chip shortage, rising material costs, and China’s COVID restrictions, all of which is likely to flatten their operating profit this fiscal year.

“Semiconductor shortage is a new normal, same as pandemic, and we have to live with it because this is not going to finish tomorrow morning,” Nissan Chief Operating Officer Ashwani Gupta said, according to Reuters.

Nissan said it expected raw material and logistics costs to increase by about 1.5 times to 212 billion yen in the fiscal year that started in April, with more than half due to steel and aluminium. It also projected an additional 45 billion yen in logistics cost increases for the current year.

In a separate interview, Toyota’s CEO, Makoto Uchida, told Reuters, “The supply chain has become a challenge for the industry as manufacturers’ assumptions can be quickly changed by real-time events.”

To avoid electronics supply-chain disruptions, you may also wish to consult an expert in electronics component supply. With more than three decades of supply-chain expertise, Astute Electronics is ideally placed to work with you on your daily component requirements.

For more help with looking at supply chain options, contact Astute Electronics

Related News

29 Feb 2024 - General

Electronics industry optimistic: bright start to 2024

Read more

26 Feb 2024 - General

India’s WTO stance raises concerns for chip industry growth

Read more

22 Feb 2024 - General

Electronics manufacturers cautious but optimistic despite recession fears

Read more

21 Feb 2024 - General

Hidden threat: counterfeit hardware infiltrates 80% of computers

Read more

15 Feb 2024 - General

Chip rush: Global scramble for semiconductor supremacy

Read more

13 Feb 2024 - General

Foxconn faces semiconductor shortage amid ‘AI chip race’

Read more