Global chip shortage

The global chip and semiconductors shortage continues to affect the electronics manufacturing sector and the automotive industry, with an important impact on all industrial sectors.

The recent weeks have been particularly negative due to long chips and semiconductors order processing times. The situation may remain delicate for most of 2022.

Causes of global chip shortage

The sudden growth of demand and the increasingly use of these components in industrial sectors have generated difficulties in raw materials supply chain and consequent delays in supplies that are mostly used for digitalization and electric mobility.

There are also geopolitical issues, caused by the growing tensions between United States and China, which have led the Asian country to accumulate reserves of chips and equipment used for their production.

The pandemic has also increased the difficulties, causing interruptions along the supply chain in China, Korea and Southeast Asia, as well as the lockdown of several factories, with consequent delays in supplies.

Similarly, other semiconductor manufacturers had to suspend the production due to unforeseen circumstances, related to climate problems in Texas, Japan and Taiwan.

The result was that demand quickly outstripped supply, leading to the current difficult situation, in which world production is unable to keep up with demand.

Garnet’s countermeasures

The end of this emergency is expected not before the end of 2022 and the situation remains very delicate, with a cascading impact on all technological industries and on all industrial production sectors.

To minimize these inconveniences, we advise our customers to schedule orders for encoders and IGBT modules in advance, ideally already for the end of 2022 and 2023.

Garnet is in contact with IGBT modules and encoders manufacturing partners to ensure prompt orders and guarantee the best deliveries in this current market situation.

The Sales Department ( is at your complete disposal to help and suggest you the best solutions for planning your 2022-2023 orders.