If you’re leading a dealership or broker business in Ireland, here’s what matters: Buyers are definitely thinking about new cars, but how confident they feel differs between the UK and here. And that difference affects how you should drive finance, marketing, and stocking.
What’s Really Going On With Chips Right Now?
Let’s be honest. The words “chip shortage” still trigger a small flashback to 2021 for most of the trade.
This latest round is not a copy-and-paste of the last crisis, but it is serious.
- In October and November, the row over Nexperia – a major automotive chip supplier – blew up again. The Dutch government intervened due to security concerns, China pushed back, and exports from Nexperia’s Chinese plants were halted.
- These are not fancy AI chips. They’re the simple control chips that run airbags, seat motors, windows and ECUs, the kind of parts that stop a car leaving the factory if you’re missing just one.
- Bosch and other Tier-1 suppliers in Europe have already reported production cuts and furloughs in their plants because of the issue.
- The European manufacturers’ body ACEA has warned that the shortage is getting “more critical by the day” as the dispute drags on.
So, the concern in Ireland is simple: will this mess hit plate supply at exactly the wrong moment?
Why Ireland Is Nervous About January
January Is Our “Super Month”
For Ireland, January isn’t just another page in the diary:
- SIMI data shows 33,521 new cars were registered in January 2025, up 7% on the year before.
- EVs had a record start too – 4,925 BEVs in January 2025, the highest monthly total ever and about a fifth of the market.
If you dent January, you don’t just lose a few weeks. You upset cash flow, stocking plans, and Q1 targets for the whole year.
Irish Commentary Has Been Blunt
The Irish Times has already asked the question out loud: “Will the latest global chip shortage scupper January car sales in Ireland?”
The piece points out that if the Nexperia dispute drags on, 261-plate cars could be pushed back as factories struggle to finish builds.
Autobiz has carried similar warnings, if the chip issue escalates, global production cuts are back on the table.
Will January 261 Registrations Collapse?
Short answer: no. But some models and brands are at real risk of delay.
Why It’s Not Another 2021
Compared with the last crisis:
- OEMs now carry more buffer stock of critical chips than they did pre-Covid.
- Many have second-sourced suppliers where possible.
- A big chunk of January cars for Ireland are already built or on the water by mid-December.
That means core high-volume models… the bread-and-butter hatchbacks, crossovers and vans – should still land for 261 in decent numbers.
Where The Pain Is Likely To Show
Delays are more likely for:
- High-spec trims loaded with driver-assist and comfort electronics.
- Low-volume nameplates where OEMs prioritise bigger markets first.
- Brands heavily tied into Nexperia and similar suppliers on older platform electronics.
In practice, that means:
- Some factory order 261s will slip to February or March.
- Some customers will be offered spec changes (less tech, different colour) to get a car sooner.
- A few niche models may go “build stop” for weeks at short notice.
How This Hits Irish Dealers On The Ground
Stock Mix Gets Messy
If January supply is patchy:
- You may end up over-weight in certain brands or trims and light in others.
- Demonstrators and pre-regs will carry more of the load for test drives and early handovers.
- The used side, especially 2-4 year-old Irish and UK imports, becomes an important safety valve again.
Customer Expectations Need Managing
Most retail buyers don’t read chip news. They just hear “delay” and immediately worry they are being messed around.
If you don’t get ahead of the story, you risk:
- Cancelled orders
- Angry phone calls
- Damage to long-term trust, especially on fleet and repeat business
A simple, honest script will go a long way here.
What Dealers And Brokers Can Do Now
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Get Very Close To Your OEM And Importer
You need brand-by-brand clarity, not rumours:
- Which models are at risk of chip-related build holds?
- What alternative specs can be delivered on time?
- Are there right-hand drive cars in other EU markets that can be re-allocated to Ireland if needed?
The answers will not be the same for every franchise.
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Sort Your “Plan B” For January Handovers
Have a clear set of options ready for customers whose cars get delayed:
- Swap to in-stock or in-transit cars with similar specs.
- Offer a temporary used car on a short-term agreement for key business customers.
- Use demo cars more flexibly where insurance allows.
The aim is to keep the relationship and finance live, even if the specific unit moves.
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Use Finance To Keep Deals Warm, Not Pushy
This is where LMO and other lenders can help:
- Pre-approvals with longer validity so customers don’t have to re-apply if the car slips a few weeks.
- Flexible start dates, so the agreement starts when the car lands, not when the paperwork was signed.
- Clear messaging on monthly affordability now vs potential price changes later in Q1.
If the payment feels safe and the plan feels fair, most customers will wait.
The Bigger Picture: Why Chips Are Tight Again
This is not just “bad planning” by car brands.
A few bigger forces are in play:
- AI data centres and consumer tech are hoovering up manufacturing capacity, especially for legacy nodes used in cars.
- Trade spats over rare-earth exports and strategic suppliers like Nexperia have turned basic automotive chips into political bargaining chips.
- Analysts warn auto-grade semiconductor supply could be tight through 2026, even if the current dispute is fixed.
For Irish retailers and brokers, that means this January wobble may not be the last one. Building more resilience into your stock and finance planning is worth the effort.
So, Will The Chip Shortage “Scupper” January?
Probably not.
January 261 sales are unlikely to fall off a cliff. But some brands will hurt, some customers will wait longer than they hoped, and the smooth 261 handover many retailers plan for may feel a bit more like controlled chaos.
If you plan now on stock, messaging, and finance, you can still turn a challenging supply backdrop into a solid start to the year.
Partner With LMO To Keep January Deals Moving
When supply timings shift, finance should help steady the deal, not slow it down.
LMO supports Irish dealers and brokers with flexible finance options. As a near-prime lender, we help you say ‘yes’ more!
If some 261 cars slip, LMO helps you keep customers confident, deals live, and January momentum intact.