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Greedy AI industry leaves other supply chains struggling to find chips
['Ian Putzger Americas Correspondent']
The Loadstar
Lead times on engine sensors, control modules ,and fuel injectors have stretched to 8-12 weeks in many cases, one logistics executive dealing with the auto industry remarked.
Prices for memory chips in the auto industry have reportedly climbed as much as 70%.
Stuart Mitchell, VP of finished vehicles at Circle Logistics, described the repercussions for automotive supply chains as “transformative”.
This new reality calls for a structural re-alignment of supply chains, he said.
This requires better visibility of supply chains, allowing for problems to be identified before their impact, he noted.