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Automakers Poised To Ask Senate For Help With Global Microchip Shortage

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Ford CEO Jim Farley recently participated in a White House summit with other automakers, chipmakers, President Joe Biden, and members of Biden’s staff addressing the global microchip shortage. In that meeting, Biden promised that legislation addressing the issue and congression funding to support production were on the way. However, as Ford and the rest of the industry continue to suffer from massive production cuts, automakers and suppliers are poised to once again ask the Senate for help.

The Senate will hear testimony from auto industry groups, including the Alliance for Automotive Innovation, which will urge the government to take action to address the global microchip shortage. The industry backs proposals to spend billions of dollars to boost U.S. semiconductor chip production, as well as tax incentives that will help chip manufacturers offset the costs of creating new production lines.

“There is an undeniable need to expand semiconductor capacity in the U.S. to meet the growing demand within the auto industry, as well as other sectors across the economy,” John Bozzella, head of the Alliance for Automotive Innovation, said in the testimony, which was seen by Reuters. Bozzella previously noted that this funding “will support the auto industry, as well as other sectors that rely on mature nodes – including defense, medical, and critical infrastructure.” President Biden’s proposed infrastructure plan includes $50 billion for chip production and research.

Meanwhile, some experts expect the chip shortage to last at least through the end of the year. Ford has been forced to cancel its summer shutdowns and idle most of its North American and European plants in recent weeks, leading to massive production cuts. Most recently, AutoForecast Solutions estimated that last week alone, Ford’s production took a 45,500 vehicle hit – more than half of the estimated 80,000 total units removed from North American production.

Globally, AutoForecast Solutions estimates that 2.07 million vehicles have been removed from production schedules since the onset of the chip shortage, which skyrocketed from last week’s estimate of 1.68 million units. The firm now projects a total of 3.12 million units may ultimately be affected by the time the supply chain is fixed.

We’ll have more on the global microchip shortage soon, so be sure and subscribe to Ford Authority for non-stop Ford news coverage.

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Written by Brett Foote

Brett's lost track of all the Fords he's owned over the years and how much he's spent modifying them, but his current money pits include an S550 Mustang and 13th gen F-150.

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21 Comments

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  1. Trump would’ve had this solved weeks ago and the media would’ve turned it into a hate-javelin against him.

    There’s a reason why the Democrats stole the last election, and it wasn’t for the sake of altruism.

      • The man that wanted the USA to make critical products here, Trump. the man that wanted the USA to make critical pharmaceuticals/chemicals here, Trump. The president that did not have a drug addict son, one that took a billion dollars to “manage” from the chinese, Trump. The president that actually wanted to solve the drug problem in the US, one you seem to be a victim of, seek help, it out there. Try to read some real history, not just listening to AOC, you’ll be better off for it.

        • Ahhhhh… A flock of sheep I see. I applaud you, a truly convincing write there but, far from the truth per usual.

          • Your brain dead response is as expected! Just blah,blah,blah, as expected. How about some Facts to back up your tripe?

            • You’re obviously the brain dead one! Most of us come to this site because we are Ford enthusiast and/or hold a position in the company and would love to know said valuable information. However, you come on here to spill your inaccurate nonsense! I am not here to debate politics with you. With that being said you should probably consider watching or reading from actual credible news sources (not your entertainment sources ie. Fox News, News Max, and OAN…) Please use credible unbiased sources that give you accurate representation of where this beautiful country is currently and going, along with numbers that reflect your opinion. As far as “Trump would have done this weeks ago” why didn’t he? The chip shortage isn’t new. This has been ongoing since the tail end of last year. He was too busy trying to save his own a** while completely neglecting this country putting us even further behind other countries, specifically China. Don’t get me wrong there are a few things that he absolutely got right, that were necessary but, don’t come spread your BS at any possible opportunity!

              • Are you high on meth, once again? When one reads your posts, it is obvious, you are in fact here to spill your feeble brain’s political point of view. When called out on it, and asked for facts, you do what most left leaning idiots do, attack the individual, rather than supply Facts. Hahahaha, I see you are here, spreading your BS at every opportunity. You are correct about at least one thing, Trump spent years trying to bring mfg back to the US. Not just chips, but pharmaceuticals, and much more. I remember when your type attacked him for closing the borders with china! In fact, peolosi went to china town, and said, “nothing to fear, lets all get together without masks etc.” Facts are facts. now that the biden family is “managing” a billion dollars from “chinese investors”, the chinese are/will continue to degrade the US. Facts are Facts. Trump used tariffs to level the playing field (no more foreign dumping, steel, Al etc.), to help American Workers, facts are facts. Fact are, the majority of chips are produced in taiwan/korea/other places, as the left leaning silicon valley would rather create jobs for people outside the US! Facts are facts. There are none so blind as those that will not see, keep a photo of AOC hanging in your house, it that makes you happy, but you seem more like a chuck shumer type….. hang in there ricki

                • I assume you and the other stooge must be engaged in convo with another person!?!? “Ricki”! Or maybe it’s the same person. You also assume I lean left because I have my head screwed on the right way? Maybe this is part of the reason the republican party is split. Half see the world as it truly is and the other live in some fantasy world their leader wants them to. Did not expect you two (maybe one) to be so triggered and call me out of my name (moron, brain dead idiot, etc). Then again maybe I did. It seems as if I really hurt your feelings. =(

                  • hey little ricki, the more you talk, the more all can see, you just can’t bring facts to bear, i guess, all you San Francisco types are the same. What ever happened to hunter bidens billion dollar to manage deal with the chinese commies? What the hell is going on with the open borders? I know Trump was doing all he could do as President, without any help from the House, to stem the flow of drugs and illegals into the US, while at the same time bringing back jobs to the US. those days are gone. Hang in there little fella, your hero AOC will save you,…

    • I agree, however these are unprecedented times and you know the saying…. calls for unprecedented actions. The administration seems to understand this. What is more alarming to me is how many Americans seem more interested in populist politics rather than solving problems for the American worker and the country. If you are not leading by example, you will be following….. U.S. prestige is not what it used to be in the world.

      • I guess shipping American Jobs out of the US, to china and mexico (for example) is the administrations understanding? when hunter biden is given a Billion dollars to “manage” from China, I guess this is the example you’re referencing? With millions of illegals pouring into the US, the American worker is not being helped, in fact the value of their labor goes down. This may be why some Americans (those that pay taxes) are concerned, as politics is not solving problems, but creating them.

        • With all due respect…. I was not talking to you. However, from the tone of your comments it would appear you have a real chip on your shoulder. It’s too bad as it makes it hard to take anything you say seriously. For a change of pace, you might try to look forward occasionally with a view to being part of the solution rather than being the problem. WE are talking about micro chips here, remember?

          • Your tone is funnneee, for a guy that does not seem to understand that we are talking about chips-FOR American Car MFG, not running down the United State, as you did with your comment, “U.S. prestige is not what it use to be..”. Once you are called out, as in old hunter bidens, billion dollars to manage from commie china, you suddenly want to talk about chips, and nothing but chips. Are you okay? Are you in one of those states that allows and encourages drug use???
            The bottom line, as long as we don’t bring back mfg to the US, we will suffer, albeit pharmaceuticals or chips. Flooding the US with illegals with no known covid vaccine, or criminal history etc. can’t in anyone’s universe, be good for the US worker, get a grip.

  2. Kinda like leaving the chicken coop door wide open for the fox.
    The Senate ‘fix’ something/anything? I get it, another oxymoron.

    • Hey Moron! Why don’t you learn how to use the site correctly and use the reply button that’s staring you right in the face.

      • Calm down little ricki, no one has appointed you hall monitor-not everyone thinks you are gifted with special powers! We (all of us on this site) were just fine without you…

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