Global Shortage of Chips

Manufacturing is making a comeback after a slow period in 2020. This is particularly true of the automotive sector which has been left behind in the global demand for computer chips.

There has been a massive rise in demand for chips from computer, phone and gaming manufacturers due to everyone spending more time at home and homeschooling. Orders were strong in this sector while the automotive industry was cancelling orders due to no demand for their products. This has now reversed and demand for cars, vans and trucks is very strong but the parts for just in time manufacture are just not there. Some manufacturers have been forced to close factories and order books as their lead times spiral and parts supply has not stabilised. Some industry sources predict that it will be 2 years before supply normalises. The automotive sector has also been impacted by new Euro 6 engine emissions regulations to protect the environment and new vehicle safety regulation.

So how does this effect the horsebox market? There is a significant shortage of chassis now which will not be resolved until next year. Chassis and material cost are just going up and up then there is the issue of parts supply which is also limited. Whether you blame Brexit or blame covid the result is the same increased prices and longer lead times.

My advice to you is if you are thinking of ordering a horsebox from us order it now. Even if you don’t want it until next year order it now. This will save you money and avoid disappointment.