📊Executive Summary

The automotive industry continues to face significant challenges due to a persistent semiconductor shortage, which has highlighted a disconnect between the automotive and semiconductor supply chains. Lead times for microchips have drastically increased, now ranging from 30 to 50 weeks, forcing automakers to place orders much further in advance. The ongoing shortage has resulted in a production shortfall of 8.2 million vehicles in 2021, with expectations of unmet pent-up demand extending into 2023. Factors such as the war in Ukraine and COVID-19 lockdowns in China are compounding these issues, emphasizing the need for better coordination between the two sectors to mitigate future risks....