Chip shortage subsiding has unique impact on Nebraska

BEATRICE -  If you attempted to buy a new car in the last year, you likely had some trouble doing so, due to the nationwide microchip shortage. However, that chip shortage seems to be slowly subsiding.

“It’s better than what it was,” Jason Zoellner, owner of Zoellner Lincoln-Ford of Beatrice, said. “Percentage wise, it’s probably about 25% better than it was.”

Just two months ago, Zoellner's lot sat void of new F-150's, but since the shortage has begun to lessen, he now has five. While this may seem insignificant, it has a major impact on how those in the market for a new vehicle go about purchasing it.

“People can actually come see what they’re trying to buy instead of imagining it virtually when building it online,” Zoellner said. “Or maybe they think they’ve seen one before, or seen a lesser or greater model than what they truly want.”

This increases demand, while also helping dealerships like Zoellner’s recover from a rough period.

“When they see that, that kind of creates demand because they think ‘hey, I like that and I want to buy it right now',” Zoellner said.

The importance of the chip shortage lessening, and eventually ending, has unique significance to Nebraska, especially the southeast region of the state. 

“If we don’t jinx things, in the next 30 days, we’ll probably have one of the best yielding harvests in our area,” Zoellner said. 

The chip shortage ending is of utmost and unique importance to Nebraska farmers because they use things like pickup’s and strong SUV’s as equipment on the farm. Therefore, they are a major customer base for Zoellner and other dealerships.

“If they have a great amount of income that comes in from these commodities, like corn and beans, they can deduct their taxable income and then they buy a new combine or a new pickup in a good year like that,” Zoellner said.

While the issue surrounding the availability of microchip’s has improved, to be back to 100%, Zoellner says it may still take some time.

“To be back to 100% to what it was, we’ll probably be looking at spring of next year,” Zoellner said.

If you’re in the market for a new vehicle, you’re encouraged to act fast, while limited microchips are available.