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A Ford Multi-Point Inspection is a process our service department completes during vehicle service to inform customers of any current or upcoming vehicle needs. It determines your vehicle’s overall health–recognizing unknown problems, recommending repairs, and preparing for future maintenance. What does White’s Canyon Ford include in a Ford Multi-Point Inspection? During a Ford Multi-Point Inspection, our certified technicians cover several maintenance areas: Lighting: this includes all front and rear lighting (headlights, parking lights, turn signals, fog lights, four-way flasher, tail lights, stop lights, and plate lights); to ensure they are without damage and working correctly. Windshield: we will check your windshield for any cracks or chips and the condition of your front and rear wipers. Tires: the air pressure, tread depth, and condition on all four tires (plus the spare, if applicable). Brakes: we inspect your brakes for wear, including brake/shoe pads, rotors/drums, and brake lines/hoses. Undercarriage: we will look at your suspension, shocks, struts, steering linkage, exhaust system, and drivetrain (transmission, differential, axles, wheels). Underhood: this includes your battery condition, heating and cooling system (hoses and piping), drive belts, engine air filter, and cabin air filter. Exterior Body: our technicians will note any exterior damage before the appointment; dents, dings, etc. Fluids: we will check your engine oil, power steering, transmission, brake reservoir, window washer, and coolant recovery reservoir; fluid levels are checked and topped off if needed. Horn: beep, beep! Horns are important for driving safety. What are the benefits? Multi-point inspections can prevent expensive repairs by identifying problems early on. Moreover, issues can often go unnoticed. Our trained technicians will help you stay on top of your vehicle’s health, ensuring your vehicle is safe to drive. How often should I get a Ford multi-point inspection? Regardless of your vehicle’s age, multi-point inspections are vital. Therefore, at White’s Canyon Ford, our technicians perform a multi-point inspection at every service appointment. Following the service, we will provide a vehicle check-up sheet. Your advisor will discuss your vehicle’s health and answer any questions you may have. How much does the inspection cost? Nothing! We perform Ford’s multi-point inspections at no cost to you. Repairs may be recommended but are not included in the inspection. Trust assured, you and your vehicle are in good hands at White’s Canyon Ford. Our friendly and knowledgeable service department is ready to help keep your trusty Ford on the road for years to come. Schedule your service today!

Recalls. We’ve all been there before. You receive a letter stating a part of your vehicle has been recalled and begin to panic. You think to yourself, “A recall? What’s that? Is my car going to leave me stranded? Who is going to pay for this?” However, there’s no need to fret. Most of the time, recalls are not as challenging as they seem. This blog will help answer some common questions you may have. What are recalls? When your manufacturer or the National Highway Traffic Safety Association (NHTSA) determines that “a vehicle, equipment, car seat, or tire creates an unreasonable safety risk or fails to meet minimum safety standards,” they issue a recall. The NHTSA is responsible for enforcing vehicle performance standards to reduce the negative impacts of motor vehicle crashes. Recalls are extremely common. To put it into perspective, Sara Coleman at Bankrate found the NHTSA issued over 1,000 safety recalls in 2021, ultimately pertaining to over 35 million vehicles. Recalls correct various faults ranging from minor technical problems to potential fire hazards. Once the NHTSA issues a recall, it is up to the manufacturers to “fix the problem by repairing it, replacing it, offering a refund, or in rare cases repurchasing the vehicle.” Your manufacturer will notify you of a recall via mail, offering an appropriate remedy. Ford Motor Company is required by law to mail recall letters to the last known registered vehicle owner (therefore, it is impossible to remove yourself from a recall mailing list). After receiving notice of a recall, your local dealership will fix said part for free. Who pays for it? The manufacturer is responsible for repairing any safety defects, free of charge to you. If someone tries to charge you for a recall repair, please report it to the manufacturer or NHTSA. There are instances where manufacturers are not obligated to fix specific safety issues, say on vehicles over ten years old or with 150,000 or more miles. However, select recalls, such as those for airbags, typically have no cut-off for manufacturer responsibility. Ultimately, we recommend discussing the recall with your local dealership to understand the specifications. Can I still drive my vehicle if I have a recall? It depends on the recall. Your manufacturer will let you know whether your vehicle is operable or, in serious cases, needs immediate attention. Nonetheless, you should always take a recall seriously, regardless of severity. Does my vehicle have a recall? If you have any questions regarding a recall on your Ford or Lincoln, please call us, and we will run your VIN. You can also check online by clicking here. It’s important to know of recalls applying to your vehicle. An existing problem may be an easy fix if there’s a recall you were unaware of. In the event you’ve previously had a repair completed that later turns into an issued recall, you may be reimbursed for it. Here at White’s Canyon Ford, our service department runs the VIN on every vehicle that comes through the shop to check for existing recalls. This allows us the ability to update our customers on outstanding recalls or warranty extensions. We find it builds trust with our customers and verifies that your vehicle is up-to-date and safe for use. As always, we are here to help. Please reach out to us if you have any further questions!

Photo Courtesy of u/Turn_Wrencher via Reddit Many published articles advise against vehicle service contracts. However, after experiencing the car business for as long as we have, we’ve learned that they are highly beneficial for most customers. Could YOU benefit from a service contract? Keep reading to learn more. What is a Vehicle Service Contract? A vehicle service contract is essentially an agreement between a customer and the service contract company that the company will cover the cost of select repairs. Similar to car insurance, which helps cover repair costs after an accident, a vehicle service contract helps cover repair costs after a breakdown. You can pay a deductible rather than trying to tackle a bill of hundreds or even thousands of dollars. How Does it Work? You can pay the contract monthly by adding it to your car loan or as a lump sum upfront. There is a wide variety of contract options, from comprehensive to basic engine transmission coverage. When you speak with your service advisor before your appointment, give them your information. A factory-trained technician will diagnose the issue(s) on your vehicle. Your service advisor contacts your plan administrator, who approves or denies the claim. If approved, the technician fixes the repairs, and the administrator submits the payment. All you will have to do is pay your deductible! In the event you trade your vehicle before the contract is up, most service contracts are cancellable and will give you a prorated amount of money back. Why You Should Invest in a Vehicle Service Contract Breakdowns are unexpected, expensive, and can happen to anyone. With most shops in the region charging a minimum shop rate of $110 per hour, it’s easy to rack up a hefty shop bill. Anyone who owns a newer car is likely aware that high-tech components alone are expensive to replace. Though we suggest everyone invests in a service contract, there are situations where we highly recommend it: A contract will keep you covered if you purchase a vehicle where the warranty has already expired or if you plan to keep your vehicle for a few years. For those who are budget conscious, a sudden repair bill can be stressful. Without an emergency fund, it may pose quite a financial burden. A vehicle service contract eliminates this risk. If you’re a high-mileage driver, you risk driving out of your original manufacturer’s warranty sooner than you’d like. A long-term, high-mileage coverage plan may be best for you. Most service contracts also include trip interruption perks, such as lodging, car rental, and roadside assistance. Protect Your Investment Your vehicle is a serious investment. Keep it protected! Regardless of how new or reliable your vehicle may be, mechanical issues are bound to arise. Consider a vehicle service contract if you’re looking for comfort in knowing you will be covered. Still have questions? Stop by or give us a call! Our helpful and knowledgeable finance team is here for you.

Who’s ready for a road trip? The Black Hills is a popular destination in the summer for families and outdoor enthusiasts alike. There are plenty of activities to do while being surrounded by beautiful views. With numerous lakes and camping spots to choose from, you’re likely to tow something along, such as your boat or camper. Here are a few towing tips to help you prepare for your trip: Towing Preparedness First, get plenty of rest the night before your departure, and pack some water and snacks. You want to be alert and energized for the miles ahead. If you choose to tow, prepare your vehicle ahead of time. Towing is a serious job – improperly hauling heavy loads will increase the risk of accidents for you and your fellow drivers. Check the pressure in all of your tires. Insufficient pressure could lead to a blowout. Have your vehicle maintained before you leave. Heavy loads can cause a lot of stress on your vehicle, leading to faster wear on parts. Ensure all your lights are working after wiring up, and adjust your mirrors so you can see adequately behind you. Finally, double-check your hitch ball and trailer coupler. They should fit properly to prevent your load from coming unattached while driving. If everything is secured, you’re good to go. On the Road Make sure you’re comfortable towing if you haven’t before. Practice makes perfect and will help with safety and navigation. Also, remember that your stopping and acceleration will change due to the extra weight. You won’t be able to start or stop as quickly as a lone vehicle. Equip your vehicle with a trailer brake if it doesn’t already have one, and confirm that it is on the correct settings. Trailer brakes will help you maintain control and provide support when stopping by alleviating weight from the tow vehicle. Being the braking is evenly distributed, you will have a smoother stop and less wear on your vehicle’s brake system. Give extra space when stopping so you don’t plow into the car ahead of you. Do not slam or ride on your brakes, as this could overheat them. Drive at a safe speed and stay in the right lane if possible, which will give you easy access to the shoulder in case something goes wrong. Your Dealer Away From Home White’s Canyon Ford is here for you. If you need vehicle maintenance during your trip, our service department is ready to help. For locals looking to travel outside of the Black Hills, our trained professionals will ensure your vehicle is in optimal shape for the drive. Need help getting set up for towing? White’s Canyon Xtreme Truck Shop has access to a wide variety of trusted aftermarket brands such as B&W, Curt, and AirLift. Whether you need a hitch, trailer brakes, airbags, or anything in between, our accessories department can assist you in finding the right equipment for your vehicle. They will see that everything works properly and you’re ready to tow. Looking to upgrade to an SUV or pickup truck that can handle the weight of whatever you’re towing? We have a wide variety of new and used vehicles ready to hit the pavement. Welcome to the Black Hills The Black Hills has many things to offer between sightseeing, outdoor activities, and places to eat or stay. There’s something for everyone! For a guide to everything South Dakota has to offer, head over to the Travel South Dakota website. If you find yourself in Spearfish, feel free to stop and say hello! Wherever the road takes you this summer, trust that White’s Canyon Ford will be alongside you every step of the way.

As summer quickly approaches, many of you likely have vacations planned and are ready to hit the road. Unfortunately, the current gas prices may cause some undesired stress. White’s Canyon Ford wants to help save your wallet and maximize your fuel mileage. Here are a few tips to consider: Driving Habits Aggressive driving can easily waste fuel. According to an article published on www.fueleconomy.gov, rapid acceleration and hard braking “can lower your gas mileage by roughly 15% to 30% at highway speeds and 10% to 40% in stop-and-go traffic.” Watching your speed can also help, as fuel economy typically declines after 50 mph. In optimal driving weather, consider using cruise control. The less your speed fluctuates, the better. Remove any unneeded cargo, especially in smaller vehicles, as extra weight may hurt your MPG. Additionally, rooftop luggage can increase aerodynamic drag, further reducing your fuel mileage. Avoid idling when possible, which can potentially use a quarter to half-gallon of fuel per hour. Try to park in the shade whenever you can to prevent extra use of your air conditioning system, which can also eat up gas. Finally, plan accordingly. Make the most of your trips by combining errands to avoid driving more than you need to. Routine Maintenance Routine maintenance is recommended for ideal vehicle performance. Keep an eye on your fuel economy because significant changes in mileage may suggest your vehicle needs to be serviced. Our prime suggestion is a fuel system service, which will help restore power and fuel efficiency. This service cleans your fuel injectors, throttle body, and intake plenum, removing carbon buildup on valves, ports, piston crowns, combustion chambers, and any deposits obstructing the catalytic converter. We recommend performing a fuel system service every 30,000 miles, in conjunction with replacing spark plugs around every 60,000 miles. Additionally, regularly check your tires for proper inflation. Insufficient pressure can cause premature wear, ultimately leading to poorer gas mileage or a potential blowout. Fuel Choice Matters Opting for the cheapest gas at the pump doesn’t always mean you’ll be saving money in the long run. Pay attention to what grade is recommended for your vehicle, as this will help your engine run as efficiently as possible. Though typically more expensive, premium gasoline has a higher octane rating, which helps prevent excess fuel from burning and maximizes power in certain engines. White’s Canyon Ford is Ready to Help Our friendly and experienced staff at White’s Canyon Ford is here to help and answer all of your questions. Do you think your vehicle might be in need of a tune-up? Get in touch with our service department! They will make sure your vehicle is road trip-ready. Are you looking to trade in your gas guzzler for a more efficient vehicle? Give our team of sales professionals a call! There is a wide variety of new and pre-owned vehicles in our inventory for any price range. We wish you safe travels this summer and look forward to serving you!

Spring is finally here! Though this doesn’t always mean warmer weather in the Black Hills, sunny days are somewhere around the corner. Now is a great time to prepare your vehicle for the summer heat. Here are a few helpful tips: Air Conditioning Systems Don’t get stuck sweating in your vehicle on a hot day. Have your climate control system inspected for proper function. Keep an eye out for any belts or hoses that may be worn or cracked from the cold, such as your serpentine belt, for example. This belt powers the air conditioning compressor. Also, inspect your belt tensioner. To avoid overheating, ensure you have plenty of fresh coolant. Consider replacing your cabin air filter to help prevent spring allergens from being sucked into the cabin. Filters and Fluids To protect your engine from debris, check your air filter. Inspect your wiper blades for any extreme wear from the winter ice and grime. You should change your wiper blades every 6-12 months. Our parts department supplies genuine Motorcraft wipers if you’re due for a replacement, and our service department can install them if needed. These will come in handy during the upcoming thunderstorms. Make sure your washer fluid is full, and opt for a summer solution. Check Your Tires It’s about time to swap out your winter tires for all-season/summer sets. While tires may lose pressure in the cold winter months, the opposite happens as temperatures rise. Avoid overinflation and premature wear by ensuring your tire pressure is at the appropriate PSI. Check your tire tread as well – it should be at least 5/32 inches. An easy way to check your tread is by placing a penny into the track. If you can see all of Abraham Lincoln’s head, your tread is too thin! Inspect the sidewalls for any damage that could lead to a potential blowout. Moreover, ensure your car is aligned correctly to avoid premature wear. These tips will help lengthen the life of your tires and save you money on gas while prices are at an all-time high. Battery Health Believe it or not, hot temperatures can be harder on your battery than cold. Battery corrosion accelerates in the heat, and water in the battery’s liquid electrolyte can evaporate, leading to a weakened battery with a shorter lifespan. Have your battery checked before the temperatures begin to rise. Spring Cleaning Don’t forget about your vehicle when it’s time for spring cleaning! Salt and grime from the winter can eventually damage your vehicle’s exterior, so set aside time to scrub the outside, including nooks and crannies like your undercarriage or engine bay. Applying a coat of wax will help protect your paint from the hot sun. While you’re at it, clean the inside, too! Get rid of any clutter and clean your surfaces. Lastly, replace your winter emergency kit with a summer one. Check out this article for more tips on what you should have on hand. White’s Canyon Ford is Here For You White’s Canyon Ford is ready to help you with your vehicle needs this season. Whether it's preventative maintenance or a particular part or accessory, give us a call! If you’re in the market for a new or pre-owned vehicle for those long summer road trips, we have a great selection. Our dealership dedicates itself to excellent customer service. Let us show you the difference between us and our competitors this season!

With the FordPass app, you will be more connected to your vehicle than ever before. It is designed to make your life easier, and above all, it's free! FordPass As technology continues to shape the automotive industry, Ford hasn't missed a beat – they are constantly working toward innovating and improving the user experience. Consequently, they created FordPass, an app that puts your ownership experience right in the palm of your hand. All remote features of the app are complimentary; this includes: Remote start/stop Remote lock/unlock Vehicle location Scheduled start Please keep in mind that your vehicle must equip FordPass Connect (SYNC Connect in 2017/2018 vehicles) in order to use these features. FordPass Connect FordPass Connect is a special embedded modem that allows vehicles to be controlled remotely. That is to say, you'll have important vehicle information right at your fingertips: approximate mileage and maintenance intervals, fuel and oil levels, service history, and warranty details. For all-electric vehicle owners, you can check your charge level, find charging stations, use Phone As A Key, and more. Vehicle health alerts help you keep track of your service appointments and make it even easier to schedule future visits. You can skip the phone call and schedule right through the app! FordPass Connect can also help you stay connected virtually anywhere by turning your vehicle into a 4G LTE Wi-Fi hotspot (on select 2018 and newer vehicles) through AT&T's nationwide wireless network. The hotspot supports up to 10 personal devices and provides access to the WarnerMedia RIDE app, which supplies a revolving selection of hit shows and movies. Uncertain on whether a hotspot is right for you? A free trial is available for up to three months or 3GB of usage, whichever comes first. Ford Roadside Assistance Easy access to Ford Roadside Assistance is another perk of the FordPass app. However, this feature is available for Ford vehicles under warranty. If your warranty expires, you may still utilize roadside assistance, but additional fees will incur. 24/7 assistance includes: Fuel delivery Lock-out assistance Towing to the nearest Ford dealership Flat tire assistance Jumpstarts for dead batteries Whenever or wherever you need it, help is always a call or tap away; though for serious emergencies, please dial 911 immediately. FordPass Rewards FordPass members also have the opportunity to earn FordPass Rewards Points. Points can be easily tracked in the app and are earned by buying or leasing a new Ford, bringing your vehicle in for Ford Service, and being an active FordPass Rewards Visa cardholder. Redeem your Points by applying them toward future service or maintenance, new accessories, or a down payment on your next new or Certified Pre-Owned Ford. Ford Credit is also accessible on the app, making for a quick and convenient way to stay on top of your vehicle's financing and make secure payments. Ready to Sign Up? First, download the FordPass app from the App Store (iOS) or Google Play (Android). Next, follow the prompts to sign up (minimal information is required) and activate your vehicle through its VIN. That's it! You're finally ready to take your ownership experience to the next level! Still need help? Stop into the dealership! One of our expert sales professionals will be ready to help.

Compact pickup trucks are back in style. Ford is breaking stereotypes with the 2022 Ford Maverick. Starting at only $19,995, the efficiently constructed Maverick is the most affordable new pickup on the market. Designed for customers who never knew they needed a truck, the Maverick already sees a four-day turnover average on dealer lots. Reinvented With You in Mind The Ford Maverick is small yet strong, with a standard payload capacity of 1,500 lb., base towing capacity of 2,000 lb., and available max towing capacity of 4,000 lb. Its compact size allows for easy maneuvering, while the interior has plenty of room for passengers (5) and all of your items. Storage was one of the focal points when creating the Maverick – there are multiple storage spots throughout the vehicle, including rear under-seat storage in the full-sized second row. Its bed is 4.5 ft. long with a multi-position tailgate and FLEXBED system. This system allows for endless customization opportunities with various Ford Accessories or your own creative efforts. Technology Matters Ford did not skimp on the technology for this model. For instance, an 8” Bluetooth touchscreen with Bluetooth connectivity, Apple CarPlay, and Android Auto are standard. Also available is an eight-speaker B&O 660 watt sound system or a personal 4G LTE in-vehicle wi-fi hotspot powered by Ford Pass and AT&T. Additionally, there are two 12-volt, 20-amp pre-wired sources for DIY electrical applications installed into the rear of the bed. Built Ford Tough Don’t let the size fool you – this truck is Built Ford Tough! Ford put the Maverick to the test at extreme conditions for millions of miles, ensuring it was built to last through any adventure. It’s the first-ever pickup in America to come standard with a 2.5L full hybrid engine, offering an incredible targeted EPA-estimated 42 mpg in the city, also making it the most fuel-efficient pickup on the market. Award-Winning Ford’s efforts are clearly paying off – the 2022 Ford Maverick has rightfully earned the 2022 North American Truck of the Year award, in addition to many others: KBB Best Buy Awards – 2022 Best New Model and Best Compact Pickup The Car Connection – 2022 Best Car to Buy Forbes Wheels – 2022 Pickup of the Year Popular Science – 2022 Best of What’s New Detroit Free Press – 2022 Truck of the Year The Detroit News – 2021 Vehicle of the Year CarBuzz – People’s Car Award Green Car Journal – 2022 Green Truck of the Year Gear Patrol’s GP100 Awards – Best in Motoring North State Journal – Best of the Year TFLTruck – 2022 Best Truck of the Year Keeping It Simple Sometimes less can really be more, and Ford proves so with the 2022 Ford Maverick. Compared to most of today’s new trucks, which can be bulky and expensive, the Maverick is compact and budget-friendly. Does this sound like the right vehicle for you? Give us a call! We currently have a select number of models scheduled to hit our lot, but they won’t last long. If you’re looking for something more personalized, our sales professionals are ready to assist you with a custom order. We hope everyone is enjoying the new year and look forward to serving you soon!

Winter in the Black Hills is beautiful, but the weather can be unpredictable, bringing freezing temperatures, icy roads, and heavy snow.  No one likes encountering car problems in these types of conditions. Winter can easily magnify pre-existing issues. It’s best to have your vehicle checked before the cold sets in and you find yourself stranded on the side of the road. Here are some tips or reminders to keep you and your vehicle safe during the winter months ahead. Battery Car batteries may struggle a bit more in the winter. No one likes waking up to a dead battery in the morning, so it’s a good idea to get your battery checked. Also, be sure to keep it clean by removing any buildup or grime on the battery terminals and cables. Coolant Clean, flush, and replace your coolant if needed. Check for any potential leaks. Doing so will prevent your engine from freezing or overheating in cold temperatures, and protect your cooling system from corrosion such as rust or scale formation. Heating/Cooling Systems Make sure your defrosters, heater, AND air conditioner are working correctly. The heat will keep you warm and prevent your windows from fogging up. Your A/C will also help with foggy windows by pulling moisture from the air. Double-check your wiper blades and washer fluid. Cold weather washer fluid is beneficial in the winter. You should change your wiper blades every 6-12 months. Our parts department supplies genuine Motorcraft wipers if you’re due for a replacement. (P.S. Do not use your wiper blades as an ice-scraper!) Lights Regardless of the weather, you should ensure all of your lights are in working order. Replace broken or faulty bulbs. Wintertime brings shorter days; therefore we will be driving in the dark more often. If your lights are yellow or dull, switch them out, and opt for the brightest illumination possible. If they simply need a cleaning, contact our accessories department to schedule a headlight restoration appointment! Tires Consider investing in a good set of winter tires, as they truly make a difference. Winter tires will help with traction on cold or snow-covered pavement. Otherwise, make sure the tread on your tires is at least 5/32 inches. An easy way to check your tread is by placing a penny into the track. If you can see all of Abraham Lincoln’s head, your tread is too thin! Keep an eye on your tire pressure as well. You will lose up to one pound per square inch of pressure with every 10-degree drop in air temperature. As a result, driving on tires with insufficient pressure can lead to premature wear and less traction. Fuel It’s a good idea to keep your gas tank at least half full at all times during the winter to impede moisture build-up, which could ultimately cause water to accumulate in your fuel system. Moreover, you don’t want to get stranded on the side of the road with an empty tank! 4X4 Fluids Winter is transfer case season, being four-wheel drive is used more often in pickups and SUVs. Special gear oil is used to keep your transfer case lubricated and cooled. Keep your fluids in good shape to prevent transfer case and differential failures. Emergency Kit Accidents happen. Be prepared! Put together a winter emergency kit to keep in your car. Your kit could include items such as extra clothing, blankets, food, water, first-aid, a flashlight, jumper cables, road flares, a camping shovel, tow strap, ice scraper, bag of sand (traction), and anything else you may need. It’s also a good idea to keep your phone fully charged and even pack along a portable charger in case you need to call for help. (Check out this article for more tips on putting together a winter car emergency kit!) White’s Canyon Ford is Here For You When it comes to your winter vehicle needs, White’s Canyon Ford is here to help. Whether you need preventative maintenance or a particular part or accessory, give us a call! If you’re in the market for a 4WD or AWD vehicle to better handle the elements, we have a great selection of new and pre-owned vehicles to choose from. Our dealership is dedicated to excellent customer service. Let us show you the difference between us and our competitors this winter! Above all, we hope you stay warm and safe this season.

You’ve all heard of the worldwide chip shortage by now. Inventories are low, and prices are a bit higher than usual. We know you have questions: “What are these ‘chips?’” “Why do we need them?” “Will this shortage ever end?” Here’s what you need to know. What are semiconductor chips and why do we need them? Semiconductor chips are complex. They are “groups of circuits that run software, manipulate data, and control the functions of electronic devices. The arrangement of those circuits gives each chip its specific purpose,” an article from Bloomberg reads. They are not interchangeable between devices, like a phone and a car, for example. Our vehicles require chips for all their incredible technology features, such as safety and suspension systems, engine and transmission operations, touchscreens, key fobs  - the list goes on. Simpler vehicles will have a lesser amount of chips, while newer vehicles can have thousands. CNBC explains how a Ford Focus uses around 300 chips, whereas one of their electric vehicles can have up to 3,000. With the popularity of electric vehicles rising, and ever-advanced safety technology, the demand for semiconductor chips is much higher than the supply can handle. Unsurprisingly, semiconductor chips are not easy to make.  According to Bloomberg, “Manufacturing a chip typically takes more than three months and involves giant factories, dust-free rooms, multi-million-dollar machines, molten tin, and lasers.” These facilities take years to construct and cost billions of dollars. A market forecast by World Semiconductor Trade Statistics reveals that semiconductor chip sales increased by 6.8% in 2020 to $440 billion. In 2021, they expect sales to rise 19.7% to $527 billion, and in 2022, 8.8% to $573 billion. If the industry is growing this quickly, why is there a shortage? How did this happen? In short, COVID-19 is primarily to blame. During the early stages of the pandemic, people were forced to work and learn from home, causing the demand for personal electronics to skyrocket. 5G phones alone require a lot more computer chips than older models. Initially, this wasn’t a problem because car manufacturers were freeing up part of the supply. They were canceling orders due to shutdowns and anticipation of plummeting auto sales. We did not expect how quickly the demand for vehicles would rebound. With zero-percent financing offers and the bettered ability for customers to shop at home, there was an incredible demand once the factories reopened. By canceling previous orders, car manufacturers were left at the back of the line for their needed chips. In addition, the supply chain is physically struggling to meet demand as many products are stuck on container ships, waiting long periods to be unloaded and transported. Labor shortages are further hindering the situation. Other unforeseen factors have affected manufacturing, such as a drought in Taiwan and a factory fire in Japan. Cryptocurrency’s appetite for chips has also put pressure on the issue, as well as the US-China trade war. This tension caused companies in China to stockpile semiconductor chips, inflating prices even further. Domestic chip production has been a national priority for China since 2014, according to John VerWey’s paper: “Chinese Semiconductor Industrial Policy: Past and Present.”  Many chipmaking companies existed in the United States, but most have shut down or outsourced to other firms, mainly in Asia. Who is it affecting? Clearly, the global chip shortage is affecting parties all up and down the chain. It’s causing pain to sub-suppliers (e.g., tire companies), sales, jobs, future production -- the economy in general. Consumers are facing limited options for used vehicles or extended wait times on new vehicle orders. Car dealerships are stuck with empty lots. Thousands of newly assembled vehicles are sitting, waiting on chips in order to be shipped out. Some companies have cut back on production, prioritizing select models. Others are shipping vehicles out without certain features, such as wireless charging or start/stop technology. Ford Motor Company views the shortage as a learning experience and is looking toward a bright future. The Drive spoke with Ford CEO Jim Farley, who claims Ford has seen improvement since the second quarter. Furthermore, they have been preparing for other potential shortages, creating their own stockpiles of materials. When will the chip shortage end? Sadly, there is no definite answer. Existing chip factories are working around the clock, but it may take a while for new manufacturers to get up and running. The U.S. is pushing to facilitate production and development domestically, allocating tens of billions of dollars toward the cause, an article from the Washington Post explains. In its entirety, the situation is slowly getting better. However, it could take into 2022 or even 2023 to return to some sort of normalcy. Only time will tell. White’s Canyon Ford is continuing to mitigate the situation by remaining patient and focusing on customer satisfaction. We understand the frustrations anyone in the market may have, and we’re always ready to help. If you want to take advantage of the current used car market, give us a call. We offer on-the-spot appraisals and immediate purchases - any make or model.