Semiconductor Shortage Temporary, Expected To Be Over By 2022: Bhargava

Semiconductor scarcity is an enormous problem for the auto business proper now however the state of affairs might additionally become an enormous alternative for the home auto part manufacturing business, SIAM President Kenichi Ayukawa mentioned on Thursday. Speaking on the Automotive Component Manufacturers Association of India (ACMA) annual session, Ayukawa, who can also be the Managing Director and CEO of Maruti Suzuki India, mentioned the demand for technology-based tools has elevated manifold in numerous sectors alongside the automotive phase. 

“The challenge of COVID-19 continues globally. Different regions are being impacted at different times. While the global supply chain is already very complex, such disruptions and uncertainties further add to the challenge. Hence our preparation has to keep pace with the growing challenges,” Ayukawa famous. The international semiconductor provide chain has grow to be more and more in danger as a consequence of a number of elements and it has impacted the home auto business since final yr and continues to be an enormous problem, he added.

“While the semiconductor shortage appears to be a challenge, it also brings in an opportunity. Of course, semiconductor manufacturing requires very huge investments. The Indian automobile industry alone cannot assure the full viability of such an investment in semiconductor projects. Hence, there is a need for consolidation across sectors,” Ayukawa mentioned.

Rising to this crucial problem, the federal government is taking few long-term measures, he acknowledged. “The invitation by the government for expression of Interest for manufacturing semiconductors in India is a much needed, long-term step, in the right direction. I am sure global investors will take advantage of this opportunity in India,” Ayukawa famous.

In the meantime, the home part business must sort out the present problem of semiconductor scarcity, by deeply partaking with the chip suppliers, he added. Semiconductors are silicon chips that cater to manage and reminiscence capabilities in merchandise starting from cars, computer systems, and cellphones to varied different digital gadgets.

The utilization of semiconductors within the auto business has gone up globally in latest occasions with new fashions coming with increasingly digital options similar to Bluetooth connectivity and driver-assist, navigation, and hybrid-electric techniques.

On the federal government’s Aatmanirbhar Mission, the business chief acknowledged that aligning with the federal government, the Society of Indian Automobile Manufacturers (SIAM) and ACMA have collectively developed a localisation roadmap for the auto business. “This roadmap details key components across segments and the corresponding opportunity for localisation. Look forward to the support of each industry member in this initiative to make India Aatmanirbhar,” Ayukawa mentioned.

Such an initiative might succeed solely with full help from the federal government, he famous. “We would jointly approach the government to seek support for this roadmap,” Ayukawa mentioned.

Touching upon the event of new-age applied sciences, he mentioned that every one internationally, there’s a large deal with lowering carbon emissions. “As a responsible industry, it is our duty to move as close as possible to Carbon Net-Zero with local manufacturing. For this, we have to develop multiple alternate powertrain technologies,” Ayukawa famous.

While lauding the help and encouragement from completely different authorities ministries on a number of know-how options together with e-mobility, CNG, LNG, Biogas, and Ethanol, he urged the auto part business to boost its focus, investments, analysis, and growth on all such powertrain applied sciences. “I am sure, only the combination of all these technologies will help us be closer to Carbon Net-Zero. Many of these technologies are new for the industry and have their own challenges of viability and infrastructure. While our talented engineers work on these solutions, we would keep coming back to the government for guidance and support,” Ayukawa acknowledged.


Leave a Reply

Your email address will not be published. Required fields are marked *