Reply to When will the chip shortage end?

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Reply to "When will the chip shortage end?"

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[quote=Anonymous][quote=Anonymous]Manufacturers will be in a better place re: chip supply by end of 2022. They'll be in a great place at some point in 2023.

But as supply grows, the millions of people who have put off car purchases will gradually enter the market. Tons of pent-up demand. And in January 2022 many people will return to offices at least a few days a week.

It will take a few years for all of this to settle down, and when it does:
--Most manufacturers will discount a bit below MSRP, but we'll never see the massive discounts people were previously used to (like in 2019 you could get ~$10k off an F150 Platinum)
--Manufacturers will nudge more people to "order" their cars and get them a month later, rather than stuffing dealer lots to the gills with vehicles they hope to sell. Tighter inventory management will allow automakers and dealers to better control supply and thus maintain higher margins. But it will also be a better experience for most consumers who are happy to pay one transparent price and get exactly the color/trim/options they want.[/quote]

GM and Ram will try to eat into ford’s pickup market share and ford will respond by discounting. It’s been the same pattern for decades. [/quote]

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