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Cars and TransportationGermany

Chip shortage puts German carmakers in a tight spot

02:11

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Michael Wetzel
October 24, 2025

German car manufacturers are unable to get the chips they need since Dutch semiconductor supplier Nexperia has been unable to deliver its product. Volkswagen says it expects work stoppages if an alternative isn't found.

The European automotive sector faces mounting pressure as semiconductor supplier Nexperia, responsible for 40% of the global market, struggles to maintain chip deliveries. A recent intervention by the Dutch government — citing national and EU security concerns — has disrupted access to Chinese components, raising alarms across vehicle manufacturing lines. With chips essential for safety systems like airbags and braking, the ripple effects could be felt industry-wide. The EU Commission is now stepping in to ease trade tensions and avert broader disruptions.
This video summary was created by AI from the original DW script. It was edited by a journalist before publication.

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