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Semiconductor Shortage

How the global supply shortage is impacting vehicle production.

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Supply chain issues take a toll.

Currently, there is a global supply shortage of semiconductor components. You may have heard this referred to as the “chip shortage,” a complex situation affecting the entire automotive industry. Certain semiconductors are the main component of microchips, which are used in electronic devices to control certain functions. In a vehicle, for example, they regulate control units and assistance systems and enable functionality of connected services.

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Demand outweighing supply.

How did this happen? Amid the COVID-19 pandemic, many factories all over the world shut down to protect workers. This temporary ceases in production, paired with a surge in consumer demand, created a domino effect of supply chain issues. The shortage affects industries manufacturing products like mobile phones, tablets, computers, game consoles, and indeed, automobiles. In short, not enough semiconductors are being made to meet the demand to manufacture features within these machines.

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Necessary measures.

Despite best efforts and contingency plans, the entire automotive industry is now contending with this shortage. The result now forces us to impose restrictions on some vehicle features for the foreseeable future, leading to delays in vehicle delivery or delivering vehicles without certain features.

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Navigating the road ahead.

We are committed to delivering the quality and service you expect from Mercedes-Benz. However, many experts from the semiconductor industry are unable to forecast when this critical situation will ease. At present, we cannot foretell when vehicle retrofitting can begin, however, we remain in close contact with our partners to ensure this process will move as quickly as possible once parts become available. Once a vehicle is eligible for a retrofit, customers will be contacted by our After-Sales service team. During the retrofit process, the vehicle can be linked directly to Mercedes me connect, and all associated functions, and the corresponding Mercedes me connect services will be activated. Naturally, our customers will not incur any costs for the retrofit.

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A message from Britta Seeger, Mercedes-Benz Group AG board member.

"Buying a Mercedes is always something special, something many even dream about. Once the perfect ‘star’ has been found, no one wants to wait for a longer time. Unfortunately, the entire industry has to cope with longer waiting times due to a restricted availability of certain semiconductors. We are truly sorry for any inconvenience this situation might have caused for you. It is our top priority to find an individual solution together with you and shorten the wait best possibly."

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