Why Are Car Dealerships Low On Inventory?

2021 Dodge Charger Steering Wheel with Paddle Shifters

If you’re shopping for a new car in the Spanaway area, then you may have noticed that many dealerships have limited inventory. This is largely due to an automotive chip shortage that has affected vehicle manufacturers across the globe since early 2021. Learn about the current car shortage with Tacoma Dodge Chrysler Jeep Ram.



What Caused the Car Shortage?

The components in modern-day cars rely on semiconductor chips to operate properly, as do the majority of everyday products that we use, from cell phones to washing machines. As such, the automotive industry isn’t the only area to feel the effects of a chip shortage, which stemmed from greater demand for entertainment devices and other electronics that require semiconductor chips throughout the pandemic. What’s more, semiconductor chips take quite a lot of time to produce and they are complicated to build. All of these factors created a perfect storm. Eventually, supply was unable to meet market demand, which is why the new car shortage has become so profound.

How Is the Chip Shortage Affecting New Car Inventories?

As you can imagine, producing the newest versions of cars and releasing the latest technology has been hindered by the chip shortage. Most vehicles require hundreds of semiconductor chips in order for essential systems to function properly. Some automakers have had to make the difficult decision between releasing vehicles without certain features and halting production. All of this has resulted in fewer models available for purchase on showroom floors in the DuPont area. Of course, the situation has led to greater demand for used cars, and used car prices have subsequently gone up significantly. While this can be an obstacle to used car shoppers, drivers looking to sell their used vehicle may be offered a higher price than they would otherwise.

How Long Will the Chip Shortage Last?

It’s hard to say exactly when everything will level out when it comes to automotive chip production. However, things are certainly looking up. Many facilities have resumed full production, with more and more semiconductor chips being built every day. As production begins to catch up with market demand, more vehicles will find their way onto showroom floors and prices will go down.

Order a New Vehicle With Tacoma Dodge Chrysler Jeep Ram!

If you are not finding exactly what you want from the new car inventories around Puyallup, then it’s time to turn to Tacoma Dodge Chrysler Jeep Ram. You can place a custom order with us to ensure that you get the vehicle, trim, color, and features you prefer without compromise. Don’t hesitate to reach out if you have any questions about the custom ordering process!


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