PARIS, (Reuters) –French parts company Faurecia reported a 10% decline in sales for the third quarter of 2012. This was due to a reduction by its customers from a worldwide shortage of semiconductor chip.

According to the group that supplies dashboards, car seats and fuel systems for automakers, sales were 3.43 billion euro ($3.99 billion) in 2019, compared to 3.82 trillion euros during 2020.

Patrick Koller, Chief Executive Officer, stated that “Market conditions remain tough” in the last quarter. He said this in a statement.

Faurecia claimed it had outperformed global automotive production. Faurecia cited October projections by information provider IHS Markit, which showed an increase of 19% in global output.

There are many car makers, such as Renault Stellantis, Volkswagen (DE) and Porsche (PA), some of Faurecia’s largest customers have reduced production targets because there is a slowing down in parts demand.

These supply chain problems have hampered car manufacturers’ attempts to rebound from the coronavirus lockdowns last year and transition towards electric vehicles.

Faurecia announced its 2021 financial guidance. It had previously cut it in September in response to IHS Markit’s projection of an automotive shortage worldwide.

IHS Markit last week estimated that the problems in the supply chain would result in the loss of approximately 11 million cars this year.

($1 = 0.8593 euros)