Executives of Hyundai, Electrolux, and other global manufacturers said they are seeing a reduction in the shortage of microcircuits. This is good news for all the tech companies that have been competing for chips for a long time. This is reported by Reuters.
Hyundai had its best quarterly profit in 8 years. This, among other things, was influenced by the reduction of the deficit: the manufacturer was able to restore overtime and weekend shifts at Korean factories. The company now plans to ramp up production in the second half of the year to meet the demand for the cars.
Swiss industrial robot maker ABB said in its second quarter report that semiconductor bottlenecks are gradually disappearing. The company expects double-digit revenue growth in the next three months. The increased supply of chips means it will be able to fulfill more orders for factory robots, motors and drives.
“I would not say the problems are over yet, but we have commitments for the second half which look quite good,” says ABB’s CEO.
Nokia also predicts a decrease in the deficit later this year. And Volkswagen has high hopes for the second half of 2022 and hopes for progress in trying to catch up with Tesla.
Electrolux – Europe’s largest home appliance maker – also expects supply chain constraints to ease in the second half of the year. However, it warns of further disruption risks related to COVID-19 and the war in Ukraine. Despite all that, the company’s director is optimistic.
“Step by step we are coming back to a more normalized supply environment,” he noted.