A worldwide chip shortage is causing problems in the delivery times of cars. It has been in the news regularly lately, but what do you notice, and what are the alternatives? We have listed the most frequently asked questions about the chip shortage for you.
Where does the chip shortage in the automotive sector come from?
Several factors influence this shortage:
- Due to the increasing amount of technology in the car, more and more chips are needed for every car.
- The production of chips has decreased due to COVID, but the demand for electronics has increased.
- During the first year of COVID-19, car manufacturers cancelled orders en masse as a precaution, while the dip was less than expected.
- Logistical problems with regards to delivering chips.
- The automotive sector mainly requires ''legacy chips''. These chips are relatively cheap and not the most profitable for the chip manufacturer. As a result, it focuses more on customers who demand more modern chips with a larger profit margin.
How will this shortage affect me? What is the impact on the delivery of new cars?
In itself, you won't notice much of a difference unless you are looking for a specific electrical device or want to order a new car. To go into the latter: we see a substantial effect in the delivery of new cars. If the expected delivery times of a new car were 3 to 4 months, you would now have to take into account a delivery time of half a year and, in extreme cases, sometimes almost a year. That is a significant difference and something to keep in mind if you are considering a new (lease) car.
I am due for a new car soon. What's good to know?
Are you ready for a new lease car? Then it's a good idea to shop around for a new car and inquire about the delivery time. This helps save you from choosing a (relatively expensive) interim solution for a longer time. Are you one of our customers? ALD will inform you in plenty of time when your lease contract ends so that the transition from the current lease car to a new lease car goes as smoothly as possible.
Are there any financial consequences if my car is delivered late?
Two scenarios apply here:
- The tax rate is higher when a newly ordered car with 0 emissions is delivered not in 2021 but in 2022. A percentage of 12% up to EUR 40,000 would still apply in 2021, but in 2022 it will be 16% up to a tax value of EUR 35,000.
- Any favourable tax rates will lapse when the current (tax-friendly) car has to be driven longer and exceeds 60 months from its first issued number plate starting the next full month.
Can I continue driving in my current car until my new car arrives?
It is often possible, but this depends on the car's age and any maintenance or repair costs that arise or are expected. In addition, any favourable tax rates may lapse for this car; see also the previous question.
How is ALD Automotive responding to the chip shortage?
Of course, we're doing everything we can to support our customers. This is why ALD Automotive provides a so-called optimal flex pool to provide customers who no longer can or want to drive their car with an interim solution until the delivery of the new lease car is certain. In addition, we maintain close contact with manufacturers and dealers to ensure a stock of quickly available cars for our customers.
For more information
Earlier we wrote about 'Longer delivery times due to chip shortage: what to do?' . We can imagine that you have questions that apply to your specific situation. Your contact person at ALD Automotive will be happy to assist you in providing the correct information and help you shop around for a new car.