Auto firms stare at supply outages amid global shortage of semiconductors

This comes at a time when demand in world's fifth largest auto market is in the initial stage of recovery after the Coronavirus pandemic-induced lockdown earlier this year

A global shortage of semiconductors (micro processors), a critical component used in the manufacturing of electronic control unit (ECUs), is set to disrupt production at auto firms in India. This comes at a time when demand in world’s fifth largest auto market is in the initial stage of recovery after the Coronavirus (Covid-19) pandemic induced lockdown earlier this year.

Following rapid recovery in demand for discretionary items such as electronics and automobiles, demand for semi-conductors has outstripped supply, leading to a shortage. As a result, while some automakers in India are seeing an increase in lead time for supplies, others