Semiconductor shortage sees China’s carmakers, chip suppliers join forces to tackle the problem
- The extent to which the chip shortage has hit Chinese carmakers is not known, although there is growing anecdotal evidence of the disruption it is causing
- It was the first time the Chinese automakers association was an official sponsor of the three-day Global Semiconductor Industry Expo, which ended Saturday
The shortage of automotive chips is bringing China’s carmakers and semiconductor suppliers closer together than ever before, with representatives from both industries discussing contingency plans on the sidelines of a chip industry event that ended Saturday.
The China Association of Automobile Manufacturers, which represents the country’s car plants, was an official sponsor of the three-day Global Semiconductor Industry Expo held in the Chinese mega city of Chongqing. It is the first time the carmaker’s group has sponsored the annual event.
The auto chip shortage was “emblematic of insufficient domestic [semiconductor] supply capacity”, association deputy secretary Yao Jie said at a special seminar on the topic held Friday.
“It is necessary to build a platform for better bridging supply and demand,” Yao said, adding that China could tap into existing inventories and production resources to try and ensure automakers had enough chips to continue production.
Unlike chips designed for the latest smartphones, most electronics used in vehicles can generally be produced on mature technologies above 28-nanometre nodes, that are not subject to trade sanctions from the US.