Brazil’s car production is restricted by a shortage of chips, says the Automakers Association

São Paulo-Brazilian automakers’ factories reached “production limits” five months after the first five months of the year, below pre-pandemic levels, due to a shortage of computer chips, the South American Automakers Association said Tuesday. ..

A shortage of semiconductors is affecting chip production, which could reduce the number of cars produced worldwide by 3% to 5% this year.

“In the first few months of this year, monthly production peaked at 200,000 units due to a shortage of parts,” said Luiz Carlos Moraes, chairman of the Brazilian Automakers Association Anfavia.Moraes said he did not expect the parts shortage to end sometime in 2022.

By May, car production increased 55% year-on-year. However, production of 981,500 units is well below the 1.24 million units produced during the same period in 2019.

So far, Anfavea has maintained its forecast of a 15% increase in car sales and a 25% increase in production this year.

In May, the Brazilian plant produced 192,800 passenger cars, trucks and buses. This is 1% more than in April. Unit sales increased 7.7% to 188,700 units. Exports increased 9% to 37,000 units.

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