New cars pile up as Michigan manufacturers wait on microchips
Currently over half of all microchips manufactured come from Taiwan, leaving U-S automotive manufacturers waiting on foreign suppliers.
To help move the process along, Michigan Congressmen Dan Kildee has introduced what he calls the CHIPPING IN Act of 2022 to bring semiconductor manufacturing back to America.
The measure is awaiting action in two committees and would provide $250 Million for workforce training in manufacturing microchips.
Harry Leaver, Executive Director at Central Michigan Manufacturers Association, said fully assembled cars are waiting to be sent to dealerships.
“If you were to drive around many areas of the state of Michigan where car manufacturing is their mainstream, you'd find fields of cars that are built, that they can't send to a dealership because they are short on these chips,” Leaver said.
Leaver said manufacturers out-sourced production to save money but are now realizing their mistake.
“A lot of the businesses are coming to realize, and our national security, as a matter of fact, it's coming to realize that you can't let all this type of manufacturing be handled outside of our borders,” Leaver said. “Because if you do, then you are held hostage, by whatever country it is that is controlling that production.”
While chip shortages are an issue, Leaver said it is only one of many supply chain problems facing the manufacturing industry.