U.S. auto firms beg for help over chip shortage

A U.S. auto industry group is calling on the government to help over the chip crisis.

It's warned the global semiconductor shortage could result in over 1.2 million fewer vehicles being built this year.

And could disrupt production for another six months.

In response to a government review of the issue, the Alliance for Auto Innovation said the government should dedicate funds to expand U.S. semiconductor production for the sector.

U.S President Joe Biden in February ordered several Federal agency actions to address the chip crisis.

He's also seeking $37 billion in funding for legislation to supercharge chip manufacturing in the U.S.

The group represents nearly all major automakers with factories in the country.

Including General Motors, Ford, Volkswagen, Toyota and Hyundai.

Carmakers have been hit particularly hard by the global chip shortage after many canceled orders when auto plants were idled during the global health crisis.

When they were ready to recommence production, they found that chipmakers were busy fulfilling orders for the consumer electronics industry instead.

Demand for gadgets of all kinds surged as people spent more time at home.

Among recent announcements, Ford and Kia have said they would cut output at some North American plants as a result of the shortage.