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Global Chip Shortage Affects Car Leasing

Signature Auto Group Florida Car Leasing

January 14, 2022

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Recently, carmakers are doing all they can to hamper the economic recovery; thereby, they curtail production. Around the world, there has been silence in the auto assembly lines, which is making worker idle, and the parking lots of dealership is looking empty. Semiconductors are undergoing shortage; there has also been upended auto manufacturing in the time but critical chips used for calibrating cars fuel injection to provide the brain for cruise control. A warning came from a group of German economic research institutes of how it has become a massive problem for manufacturers, especially concerning the shortage of chips. Therefore, we will look into how the global chip shortage affects the car leasing market.

In February in Kansas City, there was a General Motors plant that closed because they did not have chips, and till today they haven’t reopened. Mercedes-Benz has temporarily shut down factories that produce low-priced C-Class sedans because it has started hoarding its chips for expensive models.

In the U.S.A., dealers were warned by Porsche. The warning was about customers who would have to hold for an extra 12weeks to get their cars, which was due to lacking a chip used for monitoring tires’ pressure. Peugeot, who was the French automaker, and is a part of the Stellantis auto-making empire that is newly formed, has gone far as to change the old-fashioned analog speedometer to digital units in some models.

There has been a strong bounce-back of demands of cars from the slump of the pandemic, and the money that consumers saved during the past years they are now ready to spend it all because they are determined to avoid airplanes by using road trips. Carmakers are in a difficult position because they have been deprived of semiconductors for them not to make up for the lost sales they have encountered.

Renault, one of the automakers, has started to triage their chips, which he is keeping for expensive models so that they can gain much profit. The deputy chief executive of BMW, said that they are doing their best to find a smart way to prioritize cars that are higher in margins.

Some purchasers are sometimes lucky to take a new car to their home, but unfortunately, it may lack some options that specialized chips use. Porsche has warned the U.S. car dealers that they will not be able to deliver high-end seats in the Porsche Macan SUV, which has over 18 different ways to adjust it, which is a popular upgrade. But the necessary chips are unavailable.
In everything, there is always the main reason for all things. The big issue why automakers have not been able to get enough chips is because of where the priorities of semiconductors manufacturers have been put. They have given manufacturers of smartphones, video games, consoles, and other consumer electronics their priority because customers have found them to be more lucrative.

You can easily see more than 3000 chips in a modern car. But, most cars account for any fraction of chip demand. Taiwan Semiconductor Manufacturing Co. is one of the few makers of different chips that are valuable to the auto manufacturer. But, a member of a German consulting firm by the name Ronald Berger said that carmakers generated 3% of company sales during 2020
TSMC’s most important customers are smartphone makers, which accounted for half of the sales. Smartphones exceed cars by a mile. In 2019, precedent to the pandemic disrupting global economy, automotive factories produced 93 million vehicles as against smartphone production of 1.4 billion units.

In a nutshell, auto manufacturers’ priority has been in smartphones and other electronics of consumers. And, the outcome has dramatically affected the shortage of chips, making it have a substantial effect on the car leasing market.

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If you’re looking for car leasing in Fort Lauderdale or the Miami area, Signature Auto Group Florida is the place to be. As a leading leasing broker, we help customers with early lease exits, lease swaps, new leases, and everything in between. With two decades of experience in the New York area collected, our company is confidently expanding its expertise to the South Florida region.

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Car Leasing Florida

Serving areas from Aventura to Boca Raton, our reach is vast. As such, our inventory is built to serve all types of clients. With an impressive list of available cars for lease in Miami, we have a special vehicle for everyone.

Leasing a car is beneficial for many consumers. It provides a way to save on costs while evading any long-term commitments. Drivers remain open to the possibility of new vehicles, always able to keep their driveways fresh.

With our extensive industry knowledge and decades-long relationships, we’ve been able to build one of the most desirable inventories around. With most makes and models available, our lot is the only place you need to visit for your next lease.

Fort Lauderdale’s Most Trusted Car Leasing Company

Along with our excellent staff, Signature Auto Group Florida offers a diverse array of services, separating itself from other car dealers in South Florida.

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Contact Signature Auto Group Florida Today!

Signature Auto Group is the best destination for car leasing in the Fort Lauderdale and Miami area. We offer an extensive inventory made up of all makes and models, along with an experienced staff dedicated to making your next visit pleasant and straightforward.

We aim to provide as many avenues of communication as possible, allowing you to interact with our team in a manner that is most comfortable to you. Regardless of the question, feel free to email us directly at info@signatureautofl.com or use the built-in contact form. If you prefer a call instead, you can reach our team at (561) 709-2277.

You can also stop by our location to speak with us in person. We are located at 291 E Commercial Blvd, Fort Lauderdale, FL 33334.

Fort Lauderdale, Florida Car Leasing Return Center

If you have an car lease that is due to reach maturity, we at Signature Auto Group Florida can accept your lease return even if you did not lease it from us, all makes and models! Let us guide you through the process of turning in your current lease as well as provide all the information you need on leasing a new car.

If your lease is maturing soon, we suggest that a pre-inspection of your vehicle is conducted. This inspection will evaluate your vehicle’s condition using the Vehicle Condition Guidelines. After the inspection, we’ll provide you with a Vehicle Inspection Report, documenting your vehicle’s condition at that time. Save Big by returning your car with Signature Auto Group.

Fort Lauderdale, Florida Car Lease Transfer

A lease transfer works by allowing one driver to transfer their lease to another, who must qualify for credit approval with the finance company. A lease transfer is a simple process in which the name on a lease account is changed for the duration of the term. Other than the registered driver and the name on the lease, the remainder of the lease contract is unchanged. This includes mileage restrictions, wear-and-tear restrictions and the total length of the lease in months.

Fort Lauderdale Early Car Lease Buyout

Want to get out of your car lease early and into another car? Signature Auto Group Florida offers an early lease buyout program just for you. When you are leasing a vehicle, you can purchase your vehicle before the end of the lease contract. There are some instances when your car may be worth more on the market than your buyout price, and in this instance, you can actually make a profit!