Hyundai, Toyota foresee end to chip crisis

For big automakers, there just might be an end in sight to the global chip shortage.

Hyundai Motor said Tuesday (January 25) that it expects vehicle output to rebound in the first half.

It's betting that the chip shortage will start easing during the period.

Last year the problem left the firm selling less than its target of four million vehicles.

On Tuesday it posted a nearly 50% drop in profit for the quarter ended in December.

That was much worse than analysts expected, with major corporate tax bills partly behind the downturn.

But the South Korean giant is bullish on the year ahead.

It predicts sales in North America - its biggest market - will jump by around a fifth.

Toyota may be feeling more buoyant too.

Reports Tuesday say it's aiming for record output this year.

Japan's Nikkei newspaper says it's targeting 11 million cars in fiscal '22.

Hitting that target would imply a stable supply of chips over the year.

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