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Lack of micro-parts will destroy auto factories worldwide



The semiconductor shortage problem comes from the left field, which endangers the entire industry. Global sales plummeted. Take Europe as an example. By 2020, this number has fallen by 25%.

All this happened during the process of automakers trying to navigate the basic technology from internal combustion engines to batteries, which exposed them to new competition from Tesla, California, which has become by far the most powerful Value car manufacturers, and Chinese manufacturers such as Nio are on the rise.

How long the shortage will last is unclear. Michael Hogan, senior vice president of the large chip manufacturer GlobalFoundries, said that it may take 20 to 25 weeks from the time a new order is placed to produce chips and work throughout the supply chain until they reach the car. Other markets.

Hogan said: “We are doing our best to prioritize the output of the car.”

German automotive electronics supplier Bosch said the shortage of integrated circuits used to control engines, transmissions and other key functions is particularly acute. The company said in a statement: “Despite the severe market situation, Bosch is still doing everything it can to maintain its customers’ supply and minimize any further impact.”

Automakers and suppliers are making the biggest response. BMW, headquartered in Munich, said it was able to maintain production, but “is closely monitoring the situation” and maintains regular contact with suppliers.

For automakers already under pressure from the pandemic, there will inevitably be some impact. Honda said on Wednesday that it will close some production activities at its plant in Swindon, England, which produces Civic cars from Monday. Honda cited supply chain issues, including semiconductor shortages.

German supplier Continental is known for its tires but also produces electronic components. The company called on semiconductor manufacturers to increase production capacity in foundries that produce chips.


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