Even as chipmakers plan to set up factories in Germany, the semiconductor shortage that has disrupted the country’s auto industry is expected to persist for years, according to a senior Audi executive. Germany’s auto sector, along with electronics manufacturing, have faced production setbacks due to chip shortages around the world. The auto industry is reassessing supply chains and considering strategies to reduce dependence on a few Asian and American chip suppliers.
Renate Vachenauer, head of purchasing at Audi, emphasized the time and significant investment needed for the situation to improve. Chipmakers such as Intel and TSMC have revealed intentions to build facilities in Germany, but the impact may take some time to fully materialize.
Vachenauer proposed a strategy to ease bottlenecks by streamlining the types of chips used in vehicles. Currently, around 8,000 different varieties of chips are used in automobiles. He also noted the importance of stabilizing the supply of semiconductors through multiple approaches, including supplying the broker markets.
As Germany navigates the complexities of the semiconductor shortage, the industry is learning that establishing a robust and reliable supply chain is a gradual process that requires concerted efforts and investments over an extended period.
This article is sourced from and written by AI.
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