shortage

Amazon warns against car industry getting special treatment in efforts to fix chip shortage

Amazon has warned against the car industry receiving special treatment to address the chip shortage crisis that has shut factories around the world.

The technology giant told a review into Joe Biden’s plans to provide billions in subsidies for US chip manufacturing that a wide range of products from data centres to satellites were at risk from the shortage.

“Any government incentives and efforts to diversify the semiconductor supply chain should be made across the board, for access by and for the benefit of all users and customers of semiconductor technology,” the company said in its response to a consultation. 

“No single sector should be favoured over other sectors, as semiconductor technology underlies a large variety of industries.”

The Biden administration is proposing to spend $50bn (£36bn) in subsidies for chip research and manufacturing, an effort to ease the current shortage of chips and to ease reliance on Asia, where

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‘Like fire-fighting’: China carmakers struggle with chip shortage | Automotive Industry News

Automakers around the world have had to adjust assembly lines due to chip shortages caused by high demand for cars.

Car industry executives are being rattled by a global shortage of semiconductors which is hitting production in China, after hoping the world’s biggest car market could spearhead global recovery in the sector.

Automakers around the world have had to adjust assembly lines due to the shortages, caused by manufacturing delays that some semiconductor makers blame on a faster-than-expected recovery from the coronavirus pandemic.

Volkswagen AG, China’s biggest foreign automaker which wants to sell more than four million vehicles in the country, said the effect of the shortage remains unabated in the second quarter this year.

Stephan Woellenstein, Volkswagen’s China chief, told reporters on Sunday it was hard to gauge how much production Volkswagen might lose week-to-week or even month-to-month because of the chip shortage.

“It’s really like fire-fighting … In

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Car industry could take six months to recover from chip shortage

Carmakers have warned that the global microchip shortage that has brought automotive factories to a halt could continue to affect production for another six months as they called on the US government to step in.

The Alliance for Auto Innovation, an industry group that represents American car manufacturers, told the White House in a filing that the ongoing shortage could mean 1.3m fewer cars being made in the US than last year.

That would amount to around 10pc of the 12.9m vehicles produced in North America last year, according to industry figures.

A global shortage of chips that feature in cars’ entertainment units and power supplies, often only costing a few dollars, has shut down or slowed production lines around the world. Vehicle manufacturers cancelled orders in the early months of the pandemic last year, and when demand unexpectedly rebounded, struggled to secure enough supply as chipmakers had turned to

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NIO and Ford Idle Car Production Amid Chip Shortage

Chinese electric vehicle maker  (NIO) – Get Report and U.S. automaker Ford  (F) – Get Report are the latest automotive companies to idle production at some of their plants due to an ongoing shortage in semiconductor chips that has impacted global car and truck production.

NIO announced Friday it would halt production for five working days at its plant in Hefei, China. It also cut its first-quarter delivery forecast to around 19,500 vehicles, compared to the 20,000 to 20,500 vehicles it had previously expected.

That followed in Ford’s footsteps, with the automaker announcing Thursday it will idle production of its popular F-150 pickup truck at a plant in Michigan through Sunday due to the chip shortage. The carmaker had cautioned about the chip shortage affecting production following a bond sale earlier this month.

NIO and Ford are among several automakers that have been forced to

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