Global Chip Shortage Could Subside Later this Year-Goldman Strategist

Goldman Sachs is optimistic on the recovery of the semiconductor supply as the disruptions of chip shortage globally is declining.

Source: CNBC.

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The tightening of supply chains and delays in Asian economies, including Taiwan, Japan, and South Korea contributed to the earlier shortage of chips.

The global chips shortage hurt the production levels of household electronics. AlixPartners, a consulting firm, expects the shortage to cost the auto industry $110 billion in revenues.

Dan Hearsch, MG AlixPartners expects the global car production to improve consistently in the second half of 2021 towards 2022.

The isolated disruptions in Taiwan should be closely monitored as they could impact short-term production.