Chip crisis not ending this year: Volkswagen

Volkswagen does not expect the global shortage of semiconductors to end this year although it should further ease slightly in the second half, a board member was quoted as saying by industry magazine Automobilwoche.

"The volatile situation will affect us at least beyond the first half of this year," Murat Aksel, the head of procurement on the Volkswagen board said in an interview with Automobilwoche.

Carmakers around the world have been hit by a shortage of semiconductors caused by Covid-19 supply-chain disruptions as well as soaring semiconductor demand at consumer electronic companies. Aksel said there were clearly structural issues at play, with demand set to continue to rise in the car making industry.