Whitehorse Daily Star

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Jens Nielsen

Supply chain woes affecting vehicle purchasers’ options

A global shortage of semi-conductors is causing issues for local vehicle dealerships, whose inventories of new vehicles has shrunk dramatically.

By Chuck Tobin on April 25, 2022

A global shortage of semi-conductors is causing issues for local vehicle dealerships, whose inventories of new vehicles has shrunk dramatically.

Whitehorse Motors sales manager Jens Nielsen said in an interview last Tuesday the shortage has hit the supply chain for vehicles across the board – but particularly for pickup trucks.

“We would normally have 30 (Ford) F150s for sale on our lot and we currently have two,” he said. “Super Duty 350s, we would have 12. We have zero.”

A customer has already put his or her name on most of the trucks that are coming in, Nielsen added.

China, he noted, has shut down whole cities because of the COVID-19 pandemic – and China is a large global supplier of semi-conductors.

If just one supplier is down, it reduces capacity, Nielsen said.

“What surprises me is how fickle the supply chain is,” he said. “Before COVID, we took stuff for granted.

“It’s very tricky right now trying to get enough inventory to keep customers happy. We certainly do not have the selection we had pre-COVID.”

He said Ford and other manufacturers have talked about shipping trucks without chips just to get them where they need to go, then shipping the chips later when they become available.

The local dealer has indicated to Ford that it’s willing to take vehicles without chips to help the manufacturer deal with a large inventory sitting on lots, and hold them until the chips arrive. But it has not happened yet, Nielsen said.

He said the vehicles cannot be sold without the semi-conductors because they are a necessary component of the vehicles.

“I think COVID has put a damper on the supply chain,” Nielsen said.

Customers of any dealership can still order a vehicle, but the wait time is likely to be two to six months, depending on the type of vehicle and the options requested.

Dominic Larkin, general manager for the Nissan dealership, said countries like Taiwan have just not been able to keep up with the supply of semi-conductors.

If you are looking at a microchip board, everything has semi-conductors, he said.

Larkin said huge companies like Apple are also in the queue for the components, which also has an impact on the supply chain.

Nissan currently has seven new vehicles for sale, but normally in the spring a couple of years ago. they would have 60 to 70, he said.

Larkin said the dealership used to have access to Nissan’s reserve stock, but Nissan and the other manufacturers do not have reserves now.

The supply issue is affecting all lines of vehicle products, but SUVs and trucks are the major ones, he said.

Comments (23)

Up 14 Down 2

woodcutter on Apr 28, 2022 at 3:17 pm

I love my 69 F100, 94 F350 and 85 Bronco.

not a single computer chip .

Up 7 Down 2

Jake on Apr 27, 2022 at 4:21 pm

I forgot to mention...Of course that car is still running today!

Up 15 Down 2

Jake on Apr 27, 2022 at 4:21 pm

Back to the good old days as a young man in Moscow.....order the car, pay for the car, wait several years for the car, then if you don't like the color you paint it.

Up 11 Down 11

YP on Apr 27, 2022 at 3:39 pm

It's all the Liberals fault!

Up 6 Down 2

Charlie's Aunt on Apr 27, 2022 at 2:39 pm

@ Mitch & Groucho; Just think of the bonus hay burners would bring to COW composting facility, but with price of lumber the carts may end up costing more than an F150.

Up 23 Down 3

The global supply chain has been rocky for years on Apr 27, 2022 at 11:25 am

And yeah, the last 2 years have pointed out all of its flaws. But the problems began with our addiction to low-priced throwaway consumer goods, from toys to electronics to vehicles. As for food - we think we need strawberries and mangoes in January, at prices that don't even cover the shipping. Blaming labour unions or the government of the day doesn't begin to get to the heart of the problems

Up 12 Down 0

AdmiralA$$ on Apr 26, 2022 at 10:20 pm

Pretty much last year's news now but, thanks for the update I suppose. Did see an article with an interview from Chrysler CEO. He was talking about the days of lots crowded with vehicles for sale being over. Switching to the "made to order" model for the foreseeable future and, after chip inventory is back up. It is not just vehicles either, appliances, computers, LED bulbs. They are the brains of most consumer electronics.

Up 13 Down 0

Groucho d'North on Apr 26, 2022 at 9:15 pm

@Mitch Holder
Horses became unaffordable many years back. Ask me how I know.
So now I have to cut the grass.

Up 10 Down 8

Mitch Holder on Apr 26, 2022 at 3:33 pm

Bring back horses and carts.

Up 32 Down 1

Nell Fenwick on Apr 26, 2022 at 12:34 pm

Maybe it's time to remove some of the bloatware and plastic crap from new vehicles.

Up 13 Down 6

Nathan Living on Apr 25, 2022 at 5:02 pm

This is why the new City hall cost became too high?

Up 27 Down 16

bonanzajoe on Apr 25, 2022 at 4:34 pm

Wilf Carter - But who can afford to pay their workers thirty five dollars plus an hour to make the same things China does for five dollars an hour? As I inferred in my comment, the Labour Unions sailed that ship 50 years ago.

Up 25 Down 18

bonanzajoe on Apr 25, 2022 at 4:31 pm

"No! Stop it! Stop right there! on Apr 25,"

Good one - and so true. The leftys will always misdirect to protect their ideology and screw ups.

Up 24 Down 1

Henry Ford on Apr 25, 2022 at 4:29 pm

I was just in Alberta and a trucker told me the wait for a new highway tractor is 2.5 years. A mechanic said he's very busy repairing cars as there's a severe shortage of new or used. Last year, the price of used pickup trucks and heavy equipment increased by about 25%. Same now with cars.

Up 24 Down 18

bonanzajoe on Apr 25, 2022 at 4:28 pm

stephen on Apr 25, Well, we can thank the Labour Unions for it. They are the ones who forced so many companies to make their products offshore because of their greedy demands over the years. They priced themselves out of business. Now, the greenies want to go all electric, not realizing everything will be dependant on computer chips. Just another example of marxist socialism. Time to go back to the old carburetor system.

Up 18 Down 18

bonanzajoe on Apr 25, 2022 at 4:21 pm

Left wingers, Communists, Liberals - just gotta love em.

Up 24 Down 6

Groucho d'North on Apr 25, 2022 at 4:18 pm

I wonder how much influence the government's green agenda is hampering production and sales of combustion engines? Are electric vehicles suffering the same shortages? As I understand it semi-conductors and digital parts are the critical holdups.

Up 75 Down 7

Wilf Carter on Apr 25, 2022 at 4:01 pm

This a great opportunity for Canada to build back its manufacturing processing and research.

Up 72 Down 48

No! Stop it! Stop right there! on Apr 25, 2022 at 3:58 pm

Let’s be clear here… Covid did not cause supply chain issues - Government dictates did! Government hubris did! Governmental stupidity did! It’s a global reset thing so f$&@-off and quit treating us like we are stupid enough to follow your misdirection.

Up 60 Down 10

Happy With What I Have on Apr 25, 2022 at 2:55 pm

Fortunately my families F150 and Escape are both still ticking like Timex thanks in part due to Whitehorse Motors good service. This current disruption both with new vehicle delivery as well as the exorbitant price increases both for new and used vehicles is a good opportunity to ask yourself what do you really need, versus simply want for vehicles? Who wants to have to take out a 72, 84 or 96 month loan to afford todays vehicle prices anyways? I saw a new 1/2 ton truck being advertised for $96,000 recently, it’s a vehicle not a house and who wants to make the equivalent of a mortgage payment on the thing?
I agree with the president of Chryslers recent assessment when he said he fears that new vehicles may be pricing themselves out of middle class peoples budgets, and he was referring to the US where vehicle prices in American dollars are roughly 30% less than in Canada.

Up 48 Down 31

DL on Apr 25, 2022 at 2:51 pm

The impacts from LOCKDOWNS and RESTRICTIONS started in 2020 and will have long-term consequences. Even the International Monetary Fund is predicting widespread famines. Demand that all governments stop all covid measures now.

Up 57 Down 48

North_of_60 on Apr 25, 2022 at 2:45 pm

This "supply chain" issue was artificially created on purpose as part of the WEF "Great Reset" scam. The LIBgov are complicit. If you have a problem with it, then blame the LIBgov and the people who voted for them controlling our lives. People in a democracy get the government they deserve.

Up 56 Down 5

stephen on Apr 25, 2022 at 2:12 pm

Funny I have worked in Supply chain for 25 years and now people are realizing putting all your eggs in one basket (China or India) was not smart. It was also not smart to take our manufacturing off shore.

The biggest problem is you can't stop a world economy for months but keep putting orders in then start it up and think we are good to go. This is not to say the shipping industry, ports and others are not taking advantage of this and price gouging.

You all know about supply chain now haha. You under paid a group and think it's so easy. Anyone can do it. Well those that are good are worth their weight in gold right now. Companies always thought supply chain was not worth it. Now how ya feeling? hahaha

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