European carmakers and other industrial companies continue to face “devastating” chip shortages that could halt global production lines within weeks despite China agreeing to lift export restrictions, officials have warned.
The Dutch arm of the chipmaker Nexperia has not been sending silicon wafers to its breakaway Chinese subsidiary to be assembled as hostility between the two sides continued, according to car industry officials.
Nexperia makes basic low-margin chips that are widely used in electronic systems in cars and control everything from lighting and airbag systems to locks and windows. Those key components are made in the UK, Netherlands and Germany but are sent to its Chinese arm for assembly which are then re-exported.
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