There's a lot of talk happening about a "global microchip shortage". Amid an unprecedented demand, microchip production has fallen - mostly due to COVID-19. Here are some quick, Cole's notes about it. 

Is it just Automotive?
It's not just us. Almost any device that requires microchips is going through the same shortages. Whether you are looking for a new car, appliance or a new Ipad - you may come to face select models being on back order, or prices being adjusted to reflect scarcity. 

Why do Microchips effect buying a car so much?
I'm sure you've noticed that technology inside a vehicle has rapidly changed, especially over the last 10 years. Among the technology changes; things like Bluetooth, Navigation, touchscreen radios, heated seats, remote start and other conveniences all require some sort of computer control. That's where the micro chips come in. They act like the brain or conduit that allows all of these features that we've taken for granted to function. It's not just convenience features either. Newer cars also have some items like the engine or the transmission that also may need some sort of chip to function. 

Does this mean I cannot buy a new car?
Luckily for us, Stellantis is still building new cars - production has actually improved from where it was six months ago. We are still seeing some delays and features (like heated steering wheel or a sunroof) being postponed from being built into new vehicles. This is simply the manufacturer trying to forgo some of the less popular items in order to keep up with demand. In other words, they are still building but some features may be not available right now. 

What to do if you're looking for a new car within the next 12 months?
If you are looking for replace your vehicle within the next 12 months, it may be a better idea to do it sooner than later. Dwindling supplies, higher demand and the chip shortages have made it more difficult for people to get exactly what they want. We are strongly suggesting that our customers begin their process now, in order to find what they are looking for and to compromise as little as possible. Top all of that off with higher than normal used car prices - this means if you're planning on trading your old vehicle, you'll probably get more money for it now than 12 months from now. 

You can simply call, email or even chat online with us. If you're interested in buying something new or if you simply have questions, we're here to help. 

 

Categories: News, New Inventory