NASHVILLE, Tenn. (WKRN) – If you’re planning to upgrade and get that new car you’ve been eyeing, it may be harder than you think. A microchip shortage is causing big problems, and it could affect how much money you’re spending on your dream car.
“It’s kind of thrown everyone into a tizzy,” said Marty Horn, Operations Manager at Wyatt Johnson Ford Dealership in Nashville.
The tiny components are causing a big problem for people looking to buy a new vehicle. Horn says the business can’t keep up with the demand. The microchip shortage is now forcing some buyers to walk away empty-handed.
“It kind of puts them on the back-burner; there’s not a lot we can do about it,” Horn said.
In just one car, you could find more than 3,000 microchips in everything from the engine to the steering wheel, if the device used to remotely lock and unlock your car.
“Anything in a new vehicle is affected. I’ve got them ordered, but I can’t get them built, not right now,” Horn said.
According to Horn this time last year, he would typically have at least 300 new cars ready for sale; now he says he’s looking at less than 75. He says the biggest problem has to do with new vehicles compared to used ones.
Horn says to take Ford for example. The company now has thousands of cars ready to go home with waiting customers, but they will continue to sit in the parking lot until the microchips are put in them.
“As far as you can see would be new cars, and it’s not right now because we just don’t have the inventory,” Horn explained.
He also said if you do happen to find a new vehicle for sale, prepare to pay more. With newer models being scarce, dealerships have had to raise the price.
Another effect of the microchip shortage is that more companies are looking for ways to keep customers in their cars. Some are now offering incentive programs and allowing drivers to extend their lease terms until newer vehicles hit the market.
Horn is optimistic the market will come back; it’s just a matter of when. Dealers expect inventory to be back up by the end of the year.