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Transportation Hardware

Over 100K Cars Shut From North American Production This Week Due To Chip Shortage 117

The ongoing worldwide semiconductor shortage will cause more than 100,000 vehicles to be cut from North American production schedules this week, Automotive News reported Sunday. Over 180,000 vehicles are expected to be dropped globally. CNET reports: The data, which comes from AutoForecast Solutions, says North American factories have been forced to cut nearly 1.06 million vehicles from production schedules this year due to the chip shortage. This puts North America as the most heavily impacted region so far. AFS' data shows nearly 3 million vehicles have been cut so far in 2022, and the agency expects that number to grow to more than 3.8 million by the end of the year. [...] The auto industry may not recover from the chip shortage until 2023 or beyond. Sam Fiorani, vice president of global vehicle forecasting at AFS, affirmed this reasoning earlier this year: "This is not a quickly solvable issue."
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Over 100K Cars Shut From North American Production This Week Due To Chip Shortage

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  • Cars have had chips in them since the 1960s, so if they start making Rambler's again, I'm in.

    • What car had ICs in the 1960s? An Apollo moon buggy?!

      • According to this [idgconnect.com], all sorts of cars starting in the late 60s. [chipsetc.com] It was for things like automatic transmissions and fuel injection.

        1968, Volkswagon with their D-Jetronic, which was an electronically controlled fuel injection system.

        • Note that a "computer" doesn't necessarily use chips. I only see discrete transistors in the D-Jetronic:

          https://www.thesamba.com/vw/ga... [thesamba.com]

          From the article: "Volkswagen introduces the first consumer vehicle available with a computer - a transistorized, electronically-controlled, fuel injection system."

          It sounds like a classic "Well, actchewally" kind of argument, but there are massive differences between a discrete transistor and an IC.

  • China.... (Score:5, Insightful)

    by Puls4r ( 724907 ) on Monday August 08, 2022 @09:39PM (#62773604)
    China, a larger car market than the US, is losing FEWER vehicles due to this shortage. Even though the same vehicles are made in the same way in both countries.

    Which mean China is getting more of the global supply of chips than the US. Which is fine, but just highlights why we should be making these chips at home rather than abroad.
    • Re:China.... (Score:5, Interesting)

      by hdyoung ( 5182939 ) on Monday August 08, 2022 @10:31PM (#62773716)
      The US car manufacturers are victims of their own "just in time" philosophy. They cut way back on chip orders during the pandemic and were unprepared for the economic bounce back. Meanwhile the chip fabs racked up a backlog of orders from other industries (and other countries) that had the foresight to NOT dump critical supply chains just because of one or two bad years during COVID. When the car companies came back to the chip manufacturers, they were told to get to the back of an 18-month line.

      In other words, screw them. They are reaping the consequences of being laser focused on short-term economic thinking. We can drive our used cars for a few extra years and wait out the supply chain disruption and the car manufactures can suffer for a bit. If this convinces them to change their culture and plan a bit better for supplies chain disruptions, so much the better.
    • WRONG. (Score:5, Insightful)

      by Gravis Zero ( 934156 ) on Monday August 08, 2022 @10:33PM (#62773724)

      China, a larger car market than the US, is losing FEWER vehicles due to this shortage. Even though the same vehicles are made in the same way in both countries.

      Incorrect. American car companies did this to themselves. When covid-19 hit, they shutdown production and cancelled their orders for chips because they don't warehouse parts. However, when they opened up again and reordered their chips, they were at the back of the queue. To make things worse, TSMC started moving away from large fab processes because they aren't as profitable. This caused a bit of a panic and everything getting bought up. The result is a long lead time to get the part they need while most warehouses have been cleared out. They could get around this by modifying their designs but the only car company that seemed to do this was Tesla. I don't know what Chinese companies did but American car companies only have themselves to blame for have zero preparation for supply chain interruptions.

      Just-In-Time manufacturing is cost efficient when it works and very expensive when it fails.

      • by jonwil ( 467024 )

        I believe there is some kind of industry-wide list of "approved" chips or something where the big car makers like GM and Ford and whatever the hell Chrysler is called these days wont use chips outside of that list and its difficult to get the newer more available chips on that list.

        • As I understand it, it isn't so much that there's an approved chip list, it's that they don't do the programming for most of their own car's functionality, outsourcing that to a few contracting companies. Kind of like Bosch, Denso, and such.

          Given their requirements, said contracting companies don't upgrade their parts, to include the computer chips, all that often. Plus, the old chips were known to work, met durability requirements(not that new chips can't, but it has to be tested), and were cheap.

        • by Osgeld ( 1900440 )

          there is, with about 4 months of validation with that approved part in a unique circuit

      • They could get around this by modifying their designs but the only car company that seemed to do this was Tesla.

        As I understand it, Tesla never cut production(or purchasing) by all that much, and were using newer chips in the first place. Plus, because they have extensive in-house programming abilities, basically programming their own cars from the ground up themselves, they were indeed able to "make things work" for what chips they couldn't get.

      • Absolutely this. I was in the warehouse of a Swiss company not long ago. It was bursting at the seams. They explained that, due to all the uncertainties in the past couple of years, they order much more than usual. Precisely to avoid supply-chain problems as much as possible. JIT is incredibly fragile. As many companies are finding out, the hard way.
      • by eth1 ( 94901 )

        Just-In-Time manufacturing is cost efficient when it works and very expensive when it fails.

        JIT manufacturing is fine, but the problem is that the American car companies took the JIT idea that Toyota pioneered, and implemented it wrong: they made it "completely inventory-less manufacturing." The proper implementation includes inventory for things like chips that have huge lead times on orders, or take time to switch manufacturers.

  • What a wonderful way to reduce the supply of cars so that Americans can be weaned from their dependence on them.

    • What a wonderful way to reduce the supply of cars so that Americans can be weaned from their dependence on them.

      More likely they will just drive older cars for now.

    • Re: (Score:2, Insightful)

      by hdyoung ( 5182939 )
      This shouldn't have been modded down. It's a valid point that American car culture probably needs to be taken down a peg. Not that I think it's actually going to happen but it's worth discussing.
  • ... unfortunately they are too focused on collapsing with crypto
  • The exact chips... (Score:5, Interesting)

    by CompMD ( 522020 ) on Monday August 08, 2022 @10:45PM (#62773742)

    are Infineon Aurix (TriCore) chips. These are mostly 20+ year old technology for vehicles with electrical systems based on the AUTOSAR stack. The automotive industry has collectively refused to move beyond this stack despite its inability to scale effectively for the demands of modern cars. There really isn't anything these chips are doing that cannot be done with ASIL certified lockstep ARM chips, but the investment in AUTOSAR makes it a huge pain for these companies to rework their development methods and electrical architectures. They also don't have the right kind of software engineers to handle such a transition.

    • AUTOSAR - ugh. It's a terribly over-complicated morass of expensive middleware, with thousands of pages of specifications. I know why OEMS like it - the box claims to make things super drop-in compatible.

      The reality is you spend as much time "configuring" the AUTOSAR components as you would have spent writing custom code that is more efficient and actually does what you want instead of almost doing what you want and being forced to work around the accidental complexity.

      That said - is it really the Infineo

      • Infineon recently made a process change and realized they fouled six months worth of production.

      • From what I've heard it's a wide range of chips, particularly the older models built with larger feature sizes.

        Apparently when the fabs lost a bunch of orders at the beginning of the pandemic several of them decided to take the opportunity to upgrade their assembly lines to newer, more profitable technology (=smaller feature sizes). Technology that can't actually make the older chips, which would have to be redesigned to deliver the same robustness with smaller features (car electrical systems are hideousl

      • by Osgeld ( 1900440 )

        we are experiencing things like resistor and capacitor shortages, let alone simple things like pic 16 series micro's .... let alone anything more complicated than the 90's

  • Sorry, but we are being starved-out.
  • by jonwil ( 467024 ) on Tuesday August 09, 2022 @06:59AM (#62774248)

    If the issue is that the process technology used to produce these old chips is disappearing as manufacturers focus on newer nodes, why not produce new chips that are compatible with the old chips (same pin-out, same functionality, same instruction set/software) but are built on process nodes that companies will actually fab?

    • I don't know if this affects cars at all but I believe newer process nodes make chips less resilient to inteference so a simple shrink down might not work. It might require a substantial redesign and I believe also recertification.
  • by RobinH ( 124750 ) on Tuesday August 09, 2022 @08:00AM (#62774322) Homepage
    The automotive chip shortage is a different beast than the PC and Smartphone chip shortage, which is now easing. Most automotive chips use older technology nodes like 28 nm, where PCs and Smartphones use newer nodes like 7 and 5 nm. Automotive manufacturers like the older technology for cost reasons: it costs about $50m to design a chip for 28 nm, but costs exponentially more (about $500m for 5 nm) to design a chip for a newer technology node. On top of that, the equipment in 28 nm fabs are already depreciated, so there's less capital markup, making the product from the older fabs a lot cheaper. The pandemic caused auto makers to drop out orders for a couple months in early 2020, and chip makers moved resources to newer technology nodes. When demand for vehicles never really fell off, the existing 28 nm fabs couldn't keep up with demand, and couldn't dig themselves out. Fabs which normally target about 80% utilization now routinely run at over 95% utilization and are still in trouble. The automakers' only options are to either re-design some chips for newer technology nodes (you can't just scale them down - the manufacturing technologies are very different) or convince semiconductor manufacturers to build more 28 nm fabs. Both of those options are expensive and time consuming. That's why we're not going to be out of this until 2023. There are 10 new fabs under construction globally this year, but it takes time.
    • There has certainly been talk about building additional 45nm or even 65nm capacity. The cost of such a fab would probably be comparable with one or two EUV patterning machines. But margins on these older chips are razor thin so it's difficult to see how any such build would be profitable once the current backlog has been cleared. The new fab would be competing with producers who have no capital depreciation and have spent a decade optimising their process to squeeze every last die from their equipment.

      A bet

  • by laughingskeptic ( 1004414 ) on Tuesday August 09, 2022 @09:34AM (#62774496)
    My wife's SUV has four boards just related to the automatic tailgate, the driver's door switch board is different from the passenger's is different from the rear doors. There are 5 boards in just the steering wheel, two distinct boards associated with the brake pedal, etc. Every little part connects to the CAN bus which adds its own little requirement and is not done in a consistent way. The cars are engineered to force people to have to go to the dealership for repair. They are not engineered for simplicity or repairability. There are a lot less of these parts in a Tesla because manufacturability was considered over dealership lock-in when the car was designed. But other electric cars from major brandsstill have this problem.

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