Business Standard

Friday, December 20, 2024 | 12:04 PM ISTEN Hindi

Notification Icon
userprofile IconSearch

Carmakers rethink production strategies to deal with global chip shortage

The shortage, due to supply problems and a surge in demand for consumer electricals during the pandemic, has hit the auto industry hard

Carmakers
Premium

Chip suppliers need to be treated differently given their strategic importance to the industry, said Stefan Bratzel from the Center for Automotive Management.

Christina Amann | Reuters
Whether buying computer chips directly from manufacturers, reconfiguring cars, or producing them with parts missing, automakers are having to get creative to cope with the global shortage of semiconductors.
 
The shortage, due to supply problems and a surge in demand for consumer electricals during the pandemic, has hit the auto industry hard, with millions of vehicles worldwide not being produced because important parts are missing.
 
With the problem lasting longer than initially expected, manufacturers including Daimler and Volkswagen have had to rethink production strategies.
 
Car manufacturers usually buy parts from major suppliers such as Bosch and Continental, which in turn

What you get on BS Premium?

  • Unlock 30+ premium stories daily hand-picked by our editors, across devices on browser and app.
  • Pick your 5 favourite companies, get a daily email with all news updates on them.
  • Full access to our intuitive epaper - clip, save, share articles from any device; newspaper archives from 2006.
  • Preferential invites to Business Standard events.
  • Curated newsletters on markets, personal finance, policy & politics, start-ups, technology, and more.
VIEW ALL FAQs

Need More Information - write to us at assist@bsmail.in