Kia insists it is not affected by chip shortage
As the carmakers worldwide are shutting down some of their manufacturing plants due to chip shortage, Kia insists that it is not affected by it at all. The South Korean automotive company stated that it is not concern about shortage because it has enough supply to build its line of vehicles.
Kia reiterated it has no issues with chip supply
To prove that it has not encountered any problems with the supply of the chips, Kia assured its customers that the company will continue producing units even while its competitors are struggling to procure the chips they needed to get back to the business and operate normally.
It can be recalled that a number of automakers worldwide are affected by the shortage and have stopped building vehicles since an important car part is not available. The chips shortage was caused by the excessive demand from the IT companies that make various devices.
In any case, another reason for the scarcity of the chips is the COVID-19 crisis that has affected most businesses. Chip-making companies have also struggled to continue their business due to the uncertainties brought about by the pandemic.
However, for Kia that stated it is not affected by the shortage, it is very confident that the company will not suffer from any work disruptions since it is able to secure the chips it requires for vehicle production.
"In a tight supply situation, what we can do is stock up with more chips in our inventories, try to find replacements or carry out a specification change to use other components,” The Korea Times quoted an official as saying. “By making these kinds of efforts, we are trying to ensure no disruptions at this moment."
Taiwan leads the chip production to supply the global demand
Meanwhile, for other carmakers that have yet to obtain the automotive chips that they need, Taiwan’s TSMC has been tapped to help solve the global shortage. This is one of the world's largest chip manufacturers, and countries have called out the company to help end the crisis and allow auto companies to open their plants again.
As per Reuters, Taiwanese chipmakers stated that they are willing to prioritize the supplies for carmakers. They are speeding up the production of chips, so companies will be able to get back to business soon.