Continental CEO Sees Chip Shortage Continuing Into 2022

The transcript discusses the ongoing chip shortage affecting the auto industry, expected to continue into 2022. Businesses are adapting by implementing various strategies, including dual supply and inventory adjustments. The transition to electric vehicles is positively impacting the tire division, while competition from car manufacturers producing components in-house is noted. COVID-19 safety measures in manufacturing facilities are also addressed.

What is the expected timeline for relief from the chip shortage?

• End of 2021

• Second half of 2022

• End of 2022

• Second half of 2021

Which strategy is NOT mentioned as a response to the chip shortage?

• Reducing workforce

• Dual supply

• Higher inventory levels

• Changes in volume prediction models

What is the main reason for increasing prices in the rubber business?

• To cover increased input costs

• To improve product quality

• To reduce production

• To expand market share

How does the shift towards electric vehicles impact the tire division?

• Negatively, due to reduced demand

• Positively, due to demand for specialized tires

• Negatively, due to increased competition

• No impact

What is a significant challenge faced by manufacturers due to the Delta variant?

• Increased production costs

• Workforce isolation and stay-at-home orders

• Decreased consumer demand

• Lack of raw materials

What is a key factor that allows tire makers to differentiate in the electric vehicle market?

• Faster production times

• Lower production costs

• High R&D level and quality

• Wider distribution network

What is the role of Continental in the production of electric vehicle components?

• They supply base technology and high voltage components

• They do not participate in electric vehicle production

• They only assemble components

• They produce all components in-house