(CBS DETROIT) — Ford says sales dropped more than 17% in the first quarter of the year.

Erich Merkle Ford U.S. sales analyst told Detroit Free Press that chip shortages are still creating challenges for the company and the auto indsutry.

READ MORE: Michigan Announces $1.5 Million Tuition Giveaway, 100 Children To Receive $15,000

Despite the drop, the automaker is remaining optimistic and says drivers are still eager to purchase vehicles. The company reports a record 88,000 retail orders in March.

READ MORE: AAA Offers 'Tow To Go' Program During Memorial Day Weekend

Meanwhile, Toyota and General Motors also reported sales dropping during the first three months of 2022.

MORE NEWS: Holiday Travel And Gas: What To Expect At The Pump

© 2022 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.