The semiconductor shortage has caused disruptions in the automotive industry, leading to shortages of other critical commodities such as polypropylene, rubber, steel, and graphite. To mitigate these risks, manufacturers should consider implementing a dual or multi-sourcing approach, becoming more vertically integrated in the supply chain, and digitalizing the supply chain. This will help them gain visibility beyond the first few tiers in the supply chain and reduce the risk of region-specific shortages. Additionally, manufacturers should be aware of the vulnerability in the auto supply chain ecosystem and take steps to address it.
