The US government has delivered its findings to investigations on risks in the semiconductor supply chain and prospects in 2022 do not look good for producers or consumers. Chip deficiencies began not long after the first wave of Global Covid-19 pandemic with the effect began to be felt in mid 2020. With locking that forced people to work from home where they could, demanding consumer electronics, while the chip casting was the same time and the production line stopped. Government reports show that while most chip casting has operated on or nearing capacity, demand continues to soar up to 20 percent higher than 2019.
While high demand is good news for chip makers, ongoing supply constraints means that the industry including car makers, consumer electronics makers and the medical device sector will continue to provide components to meet demand. As anyone who has tried to buy the Playstation 5 or Xbox Series X know, it still feels like trying to secure the console during the launch month even though the two consoles have been on the market for more than a year.
CEO of Apple Team Cook said that the semiconductor deficiency had a cost of a billions of apples in lost sales while carmakers including GM had been beaten with similar problems that could cost all US car industries more than $ 200 billion, according to reports. As a result, a shortage of new cars has seen car prices rise and encourage inflation.
According to the Ministry of Commerce M.S., the author of the report, the majority of Fab runs on the utilization of more than 90 percent. However, the chips inventory of OEM has dropped from the median inventory of 40 days in 2019 to less than five days, further illustrates how terrible the current situation remains.
The report writers did not see the situation increased at least for several years the next sixth. On the positive side, while the current Omicron outbreak does not seem to pose a significant threat to production today, the situation remains very vulnerable to further side effects including natural disasters.
Biden Administration Secretary Gina Raimondo used the report to encourage Congress to approve the administrative proposal for an investment of $ 52 billion to rebuild the semiconductor industry. Injection will help reduce dependence a.s. In a foreign supply chain and help stabilize the industry and local work.
The Commerce Department also refers to Intel’s plan to build a new $ 20 billion casting in Ohio who will come online in 2025. While the operation will not begin until after anticipated conclusion from the current crisis, it will create 10,000 local jobs and help strengthen it silicone supplies Domestic sourced.