Latest updates as semiconductor chip crisis cripples industry

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Nissan’s Sunderland plant in the UK has been feeling the effects of the semiconductor shortage for six months, the Sunderland Echo reported.

“The global semiconductor shortage has affected the supply of spare parts to the automotive industry,” a Nissan spokesperson said. “Due to the shortage, Nissan is adjusting production and taking the necessary steps to ensure the recovery.”

Renault

Renault, which is an alliance with Nissan, also predicted that supply shortages would last until mid-2022. Company CEO Luca de Meo said he would prioritize the production of higher margin vehicles.

“Renault has in some cases been forced to send someone to Asia to collect the chips,” de Meo said, describing the situation as “a mess”.

Stellantis

Stellantis has signed an agreement with Taiwanese electronics company Foxconn to design a new family of semiconductors to be implemented in the group’s four electric vehicle platforms. Foxconn will supply more than 80% of Stellantis semiconductors.

“Our software-defined transformation will be fueled by great partners across all industries and expertise,” said Stellantis CEO Carlos Tavares.

“With Foxconn, we aim to create four new chip families that will cover over 80% of our semiconductor needs, helping to significantly modernize our components, reduce complexity and simplify the supply chain. It will also strengthen our ability to innovate faster and create products and services at a rapid pace. ”

The deal should allow Stellantis’ growth to continue. It became the best-selling automaker in Europe in November, overtaking the Volkswagen Group for the first time since its inception. It claims a 21.0% market share, largely thanks to the success of the Peugeot 208 and Peugeot 2008.

The deal with Foxconn will also involve research into reducing the complexity of semiconductors, which Stellantis says will be important as vehicles become “increasingly software-defined.”


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