Factory cuts due to microchip shortages slowed last week as automakers and suppliers are showing signs of renewed optimism that the crisis is easing.
AutoForecast Solutions added just 23,000 vehicles last week, the number of vehicles pulled from its worldwide production schedule, one of the smallest rounds of weekly reductions in recent months.
About 10,100 reductions came from European auto plants, while about 6,500 vehicles were cut from North American plant schedules and 6,300 were eliminated in Asia.
Reporting quarterly earnings last week, Ford Motor Co., Magna International Inc. and others predicted that semiconductor shortages would narrow further later this year.
Sam Fiorani, vice president of global vehicle forecasting at AFS, said legislation passed by the Senate last week that would provide $52 billion to boost US semiconductor production should help address the shortfall in North America.
“Better days should be on the horizon,” he wrote in an email.