Pandemic, chip shortage will weigh on carmakers in 2021 - Bosch

Global Economy

Reuters
04 February, 2021, 05:10 pm
Last modified: 04 February, 2021, 05:16 pm
Around 85 million vehicles will roll off assembly lines around the world this year, a jump from the 78 million units produced in 2020, but still below the 92 million cars produced in 2019
Newly manufactured cars of the automobile maker Honda await export at port in Yokohama, south of Tokyo June 23, 2015/ Reuters

Global automotive production will return to growth in 2021 after taking a hit during the coronavirus pandemic, auto supplier Robert Bosch said on Thursday, but the ongoing Covid-19 crisis and a semiconductor chip shortage will weigh on carmakers during 2021.

Around 85 million vehicles will roll off assembly lines around the world this year, a jump from the 78 million units produced in 2020, but still below the 92 million cars produced in 2019, the Stuttgart-based car parts supplier said.

Global automotive production hit a high of 98 million units in 2017.

"We are quite positive," Chief Executive Volkmar Denner said, adding that "we still have a long way to go to catch up."

The supplier said it estimated its sales would grow 4% in 2021 after a drop of more than 6% in 2020.

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