Foxconn says it has not yet been affected by the chip shortages in the first two months of this year, but saw the first consequences in March. The company currently expects to be able to deliver 10 percent fewer products due to the shortages.
The fact that the chip shortages had no impact on Foxconn in the first two months of 2021, according to chairman Young Liu, is due to the fact that all of his customers are large companies. Foxconn makes products for Apple, Microsoft and HP, among others.
Liu did not specify the period over which the expected 10 percent production limitation applies, but emphasized that this is the current estimate. According to Nikkei , he reported that products for working from home are particularly affected, because the demand for them has increased in a relatively short time. “The impact on orders placed long ago is limited.” The chip shortages will continue until at least the second quarter of 2022, according to Liu.
The car industry has been bothered by chip shortages for months, several manufacturers had to temporarily cease production of cars. Car manufacturers were relatively late with chip orders last year . The fact that Foxconn as the largest electronics manufacturer in the world is now experiencing the impact is an indication of the magnitude of the shortages.