Chip Shortage to Cost Automakers $210 Billion in Sales: Analysis

Opinions expressed by Entrepreneur contributors are their own.

The global semiconductor shortage will lead to 7.7 million fewer vehicles produced in 2021, costing automakers billions in lost sales, according to consulting firm AlixPartners.

The forecast, released Sept. 23, estimates that the shortage will cost the auto industry $210 billion globally in lost revenue in 2021, up sharply from the May projections of $110 billion in forgone sales and 3.9 million fewer vehicles built.

“Everyone had hoped that the chip crisis would have abated more by now, but unfortunate events such as the COVID-19 lockdowns in Malaysia and continued problems elsewhere have exacerbated things,” Mark Wakefield, global co-leader of the automotive and industrial practice at

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