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Home » Market Update » GM: chip shortage is the worst auto supply issue ever

General Motors President Mark Reuss said in an interview with Fox Business that the microchip crisis is probably the worst crisis he has seen in the auto industry, at least in his career, in terms of supply chain.

Fox Business pointed out that GM has reduced the production of nearly all of its car and SUV lines to prioritize chip supply for its profitable full-size trucks and has taken to building some pickups without all of the needed chips and storing them until the parts become available to install. Only the production of its full-size SUVs — the Chevrolet Tahoe and Suburban, GMC Yukon and Cadillac Escalade — have continued at planned levels.

Reuss said automotive-grade semiconductors are different than those used in other industries, so it’s not a one-for-one substitution as their manufacture is increased to meet the shortage, which has affected every industry that requires them.

“We are asking for our fair share of automotive microprocessors right now, nothing more, and that would really help and we’re working really hard on getting that,” Reuss added.

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