Business
Supply chain woes still stall production
The microcomputer shortage is still stalling the production and delivery of new cars, phones, and even dishwashers, causing prices to rise, experts say.
It’s just one of the latest issues affecting the global supply chain, which experienced a variety of challenges over the past year and a half.
The microchips at first affected new car prices, but the pinch has now spread to consumer electronics, whose popularity surged during the pandemic. Although tech companies were initially able to purchase semiconductors that the closed-down car factories couldn’t use, both industries are now in line for the chips and supply can’t keep up with demand.
Other supply chain issues include transport — the shipping industry hasn’t had enough containers, which drove transport prices up. Food prices climbed 3.5 percent from March 2020 to March 2021. Gas prices are also on the rise.
Some challenges, like those with the chips and in the lumber industry, can be attributed to more than just the pandemic — tariffs and extreme weather among them — though most experts agree that the pandemic has amplified or accelerated those issues.
The good news? Although lumber and microchips may be in short supply until 2022, many supply chain problems are beginning to ease up, in part due to factories reopening and employees returning to work.
