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Feds Taking a Harder Stance on Chip Shortage, May Suspect Hoarding

Car and Driver

The ongoing semiconductor chip shortage that’s affecting production of high-tech products around the world continues to make building new cars difficult for the automotive industry. Without a change, some experts say the chip shortage could last until late 2023.

The Federal Emergency Management Agency (FEMA), which exercises DPA, calls it “the primary source of presidential authorities to expedite and expand the supply of materials and services from the U.S. industrial base needed to promote the national defense.”

In this case, according to Bloomberg, the president might invoke the DPA in order to ease some of the supply chain disruptions that have caused the industry to build millions fewer new vehicles than originally planned. The report comes after the White House held a second meeting with stakeholders—including Ford and General Motors, as well as two dozen other companies like Apple and Microsoft, The Washington Post reports—to discuss the chip shortage.

Read the article at Car and Driver.

Sep 26, 2021connieshedron
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