INdustrycTceh INsight Logo

Renault sees more extensive production hit from chip shortage

Renault sees more extensive production hit from chip shortage

October 21, 2021: -On Wednesday, French carmaker Renault expects to produce at least 300,000 fewer vehicles this year due to a global shortage in semiconductor chips. Three sources close to the firm told Reuters, a much bigger hit than previously estimated.

The supply problems would cost Renault, which is set to publish its third-quarter sales on Friday, over a third over the 220,000 lost vehicles forecast in early September. A Renault spokesperson declined to comment.

“The forecasts change all the time, but the shortfall will be between 300,000 and 400,00 vehicles,” said one of the sources. The other two sources said this figure could be between 350,000 and 380,000 vehicles.

On Thursday, the shortage in chips has come at the worst possible time, automotive lobby group PFA said, as carmakers recover from coronavirus disruptions and shift towards producing all-electric vehicles.

It also added that chip supply constraints could stretch well in the next year.

Renault said in the summer that electric vehicles would account for up to 90% of its Renault brand sales by 2030. Still, component shortages have forced carmakers worldwide to cut or even suspend production.

This year, all cars manufactured in the European Union must comply with EU regulations that cap average CO2 emissions from new vehicles at 95g CO2/km or face heavy fines.

About Us

We provide the insights on leaders who are responsible for taking their organization to new heights, all the while bringing together a group of talented individuals.

Recent Posts

The Lake Companies | Making Manufacturing Easier…Forever! | Greg Lake

Today, most manufacturing companies face similar challenges. Those tend to intertwine themselves with implementing and adhering to best business practices. There are many reasons for this, including:
No standard definition for best practices.
The unending confusion of new shiny objects created by the technology industry.
The fact that manufacturing is such a complex industry.

Cyncly | Preparing Customers for the Future | Andrea Gnoato

Cyncly was created in September of 2022 as the new brand to unite Compusoft, 2020, and their affiliate companies after the two companies merged in 2021. One of the key factors driving the decision to form Cyncly as a global brand was that consumers worldwide wanted a seamless experience when they decided to improve their homes.

Tecnomatix | Making Transformative Products | Tony Hemmelgarn

Tecnomatix® is a comprehensive portfolio of digital manufacturing solutions that helps companies to digitalize manufacturing and the process of turning innovative ideas and raw materials into transformative products. It is a software suite that enables organizations to create a digital twin of their manufacturing processes, including robots, automation, material handling systems, and people, to improve the performance of their business.

Renault sees more extensive production hit from chip shortage