BERLIN / FRANKFURT / LONDON (IT BOLTWISE) – The shortage of Nexperia chips is forcing major automotive suppliers such as ZF and Bosch to introduce short-time work in their German factories. While ZF in Schweinfurt is reducing working hours due to declining demand, Bosch in Salzgitter is reacting flexibly to production adjustments. The auto industry is warning of possible production stops, although Volkswagen has not yet reported any impact on its production.
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The current chip crisis has the automotive industry firmly in its grip. Particularly affected are suppliers such as ZF Friedrichshafen and Bosch, which are forced to introduce short-time work in their German factories due to semiconductor shortages. ZF has announced short-time work for its location in Schweinfurt, one of the largest in Germany. This measure comes not only because of the supply problems with Nexperia chips, but also due to declining customer demand.
Bosch also sees itself forced to resort to short-time work at its Salzgitter plant. The chip delivery bottleneck presents the company with major challenges that require flexible production adjustments. Nexperia’s basic chips, which are installed in many electronic products, have no longer been exported from China since the beginning of October. The Ministry of Commerce in Beijing is currently considering exemptions for the blocked exports, while China, the United States and the European Union are looking for a diplomatic solution.
The effects of the chip crisis are far-reaching. The auto industry is warning of possible production stops that could affect the entire supply chain. However, Volkswagen has stated that the supply bottleneck has so far not had any impact on production at the VW brand’s German factories. The group is closely monitoring the situation and is prepared to take necessary measures in the event of new developments.
The recent talks between the USA and China point to a fundamental rapprochement on trade issues. This could ease the situation. Meanwhile, car manufacturers like Volkswagen are examining alternative procurement options to minimize the effects of the chip crisis. However, experts warn that auto industry supply chains will remain vulnerable unless a permanent solution is found.
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