Renault says chip shortage means 300,000 less cars in 2022

Renault CEO Luca de Meo explained the French carmaker expects to make 300,000 much less models in 2022 than it perhaps could have as a outcome of the ongoing international chip lack.

Renault designed 500,000 less cars last 12 months as a end result of the chip shortage. In September, consulting firm AlixPartners predicted the chip scarcity would charge the car sector $210 billion in earnings.

“The situation ideal now is even now very complicated,” de Meo explained to CNBC’s Road Signs Europe Friday.

De Meo reported that Renault expects the chip crunch to become a lot less serious this year, adding that a “usual circumstance” should really resume in the next half of 2022.

His comments arrived as Renault described an 888 million euro ($1 billion) web earnings for 2021 on Friday, beating estimates. The carmaker statements its operating margin of 3.6% places it two a long time forward of its have “revolution revitalization” approach. “Renault is back again on observe,” de Meo stated.