Global Chip Shortage Still Continues In 2022, Many Companies Are Skeptical About Achieving Production Targets

Logitech, will have greater sales if it is able to get all the components needed. (photo: doc. unsplash)

JAKARTA – The shortage of chips or a shortage of chips in the world, due to the COVID-19 pandemic, is predicted to continue in 2022. The disruption of the world's chip supply chain has forced a number of technology companies and even car manufacturers to revise their production targets.

"We expect the global shortage of semiconductor chips to continue through 2022," Logitech International Chief Executive Bracken Darrell told Reuters on Tuesday, January 25.

"I think it's going to be a while," Darrell said. "I don't think it won't be as severe as when we get to the end of this calendar year, but it happened here."

Logitech, which makes keyboards, mice, and webcams, would have more sales during the third quarter if it could get all the components it needed, he added, after the company reported its quarterly results.

However, due to the shortage of global chips, they are not willing to increase the sales target, due to concerns that production will be difficult.

Toyota Motor Corp also plans to produce a record 11 million cars in fiscal 2022, according to a source at the Japanese automaker. But to achieve that production target they will be very dependent on a stable supply of chips, the source said.

The Nikkei newspaper previously also reported on Toyota's production plans. But they are starting to be skeptical to see the target of 11 million cars will be met this year.

Computer technology companies, electronics, as well as car manufacturers, have been known as the world's largest chip sucker. If the chip shortage persists, these two sectors will be the hardest hit, both in terms of production and revenue.