EU carmakers 'days away' from halting work as chip war with China escalates

EU Car Manufacturers on Brink of Halting Production Over Chip Shortage

A severe shortage of computer chips from China is threatening to bring European car production to a standstill. The European Automobile Manufacturers' Association (ACEA) has warned that its member companies, including BMW, Fiat, Peugeot, and Volkswagen, are "days away" from halting work due to dwindling supplies.

The crisis began when Beijing banned exports of Nexperia chips in response to the Dutch government's decision to take over the Netherlands-headquartered company on September 30th. The US had flagged security concerns over the Chinese chief executive, leading to the takeover.

Industry leaders are now scrambling to find alternative sources for the crucial semiconductors, which are essential for all electronics in vehicles, including dashboard functions, ignition systems, and transmission systems.

Mercedes is searching globally for alternative suppliers, according to its chief executive Ola Källenius. Meanwhile, Japanese car manufacturers like Nissan are bracing themselves for production line stoppages, with Guillaume Cartier warning that the company's supply will only last until early November.

The shortage has already caused significant problems in Japan and is expected to have severe consequences for European car manufacturers if a diplomatic solution cannot be reached quickly.

China's attitude towards the EU appears to have shifted since April, when Beijing learned that hardballing the US had resulted in gains. Andrew Small, a senior fellow at the German Marshall Fund, believes China is now deliberately targeting European industry and other industries worldwide with its tactics.

A high-level delegation from Beijing will arrive in Brussels on Friday for talks, but there are concerns that the EU's diplomatic efforts may not be as effective as those used by the US and China. With the situation rapidly deteriorating, European car manufacturers are under pressure to find a solution before it's too late.

Like, can you even imagine if our cars just stopped working like that? I'm so glad they're trying to find alternative suppliers ASAP! But, gotta say, China's attitude is getting pretty suspicious... They're basically taking a page from the US playbook and targeting the EU now. It's not cool, but let's hope our diplomats can still get some progress out of this meeting in Brussels on Friday

This chip shortage is getting serious ! I mean, can you imagine cars just stopping on the production line? It's like, what's next? We can't even get enough chips for our gadgets and appliances . And now China's playing hardball over there . I don't blame them for trying to protect their own interests, but come on! We need those chips for so many things! I'm keeping an eye on this situation, hoping that some diplomatic magic happens soon ️.

I'm telling you, this chip shortage is just another example of how reliant we've become on foreign tech suppliers . I mean, can't Europe even get its own chips made anymore? It's like they're addicted to Chinese tech or something . And now they're scrambling to find alternatives, but it's going to take time and that just means production will grind to a halt . Mark my words, this is just the beginning of some major problems for European car manufacturers. They need to start diversifying their supply chains ASAP before things get out of hand .

omg this is insane like eu cars can't even make cars without chips? what's next? no power in europe? how did china do this tho? i mean we all know they're super powerful but a chip ban? that's just ridiculous

anyway i feel bad for europe. their car industry is huge and it's gonna have major repercussions. i heard japan is already struggling with production line stoppages what about the jobs tho? thousands of people losing work because of this? so not cool.

can someone pls explain to me why china did this? were they trying to hurt eu or was it just a mistake? and does this mean we'll see more countries doing the same thing if they don't get their way?

eu's diplomatic efforts better be on point this time cuz if they can't resolve this with china, it's gonna be a disaster

I'm just thinking... this whole chip shortage thing got me wondering, have we become so reliant on global supply chains that when things go haywire, our entire way of life is at risk? It's like, what happens if Beijing decides to pull the plug next on something else we need? Are we prepared for that? We're always talking about the importance of being self-sufficient and less dependent on foreign markets, but it seems like we're still very much tied up in those global strings. And what's with this 'takeover' business? It feels like some kind of reverse mercantilism... China gets to dictate terms because they can just not send chips anymore?

I think it's crazy how everyone's freaking out over this chip shortage EU cars are gonna grind to a halt? I mean, we've been hearing about this for ages and no one's done anything about it . It's all just a big mess, if you ask me. China's being all stubborn and stuff, but can't they see that this is hurting everyone involved? The EU needs to take some action, not just sit back and wait for the chips to magically appear . And what about the alternative suppliers? We've seen Nissan scrambling around like a chicken with its head cut off ...this is getting ridiculous!

ugh this is crazy ! I mean, i get it china's got its reasons but can't they just chill for once? and now europe's entire car industry is on the brink of collapse? that's like, what if everyone in europe can't afford cars anymore? and it's not just cars, it's like every other electronic device too... what's next? maybe china will start demanding all our laptops and smartphones be made with only chinese chips too . i really hope the eu is able to negotiate something out of this situation or we'll be in big trouble

This is so crazy! I mean, I knew we were reliant on chips from other countries, but I didn't think it'd come to this. European cars can't even get the basic stuff they need, and now production is at a standstill? That's just huge. The problem with global trade is that you're only as strong as your weakest link, right? So if China takes away their chips, everyone else gets affected. I feel bad for the manufacturers trying to find new suppliers, but they have to think about profits too. Can't they negotiate a deal or something? It's just one of those situations where no one wins.

OMG I cant even believe what's happening with our cars like how can Europe not have enough chips from China idk if its because of politics or something else but its really affecting us students who rely on their parents' cars for school trips and stuff

I feel bad for the manufacturers having to scramble for alternative sources but at the same time I feel sorry for all the people who will be affected by this shortage idk if they can find a solution before it gets worse I hope the EU's talks with China go well

I'm shocked . Can you believe what's going on? Back in my day, we didn't even think about chips being a problem. Now, they're everywhere . I mean, I know cars have become so advanced, but come on! They can't just stop production because of some chip shortage. It's like the world has gone crazy . And China is behind it all? I remember when the Cold War was over and everyone thought we'd be friends with China. Now they're playing hardball and it's causing a global crisis . We need to find a way to get those chips sorted out pronto , or we'll be stuck in traffic forever

I'm getting really worried about our Euro car makers . This chip shortage is having them on the brink of collapse! Can't believe China is playing this nasty game . They're just trying to get back at the EU for taking down that company they own, right? It's like, come on guys, can't we all just get along and share the chips (or tech) fairly?

It's not just European cars that are affected either, this shortage is going global . Japan's already feeling it, and if Europe doesn't find a solution fast, I'm sure other industries will start to suffer too . We need some diplomatic magic to happen ASAP ️!

Can't believe this is happening! I mean, I knew we were relying on foreign countries for some of our tech needs, but come on! We're talking about the backbone of modern cars here! How are they just gonna stop production and leave people stranded? What if they can't find new suppliers in time? It's like a ticking time bomb over there... I hope those EU officials in Brussels can sort this out ASAP, because we can't afford to lose even one more day. The whole supply chain is at risk of collapsing!

OMG u guys can't even imagine what's gonna happen if they dont get them chips on time BMW, Fiat, Peugeot, and Volkswagen r all like 1-2 days away from shutting down their factories lol what about all the ppl who work there?! & theres no way to find alternative suppliers fast enough cuz it takes forever to set up production lines I mean i feel for Japan cuz they already r feeling the heat but eu manufacturers gotta act fast or else its game over

omg, this is insane ! a chip shortage from china is gonna bring eu car production to a grinding halt? that's like, what happens next? do they just magically grow more chips or something? and beijing banning exports of nexperia chips because of the dutch takeover is just rich . i mean, china's been playing hardball with us for years, but this feels like it's getting personal . and now we're stuck in a diplomatic limbo where the eu can't even coordinate effectively? what's the plan here? are we gonna be car-less by november ? gotta keep an eye on this one

THIS IS TOTALLY NOT WHAT WE NEED RIGHT NOW - A CHIP SHORTAGE THAT COULD BRING EU CAR PRODUCTION TO A GRINDING HALT! I MEAN, WHO WANTS TO BE STUCK ON THE SIDE OF THE ROAD WITHOUT A WORKING DASHBOARD OR IGNITION SYSTEM? IT'S LIKE BEING TRAPPED IN SOME KIND OF HIGH-TECH NIGHTMARE! AND CHINA ISN'T EVEN TRYING TO HELP BY BANNING EXPORTS OF NEXPARIA CHIPS. I THINK WE SHOULD JUST STICK TO BUYING CARS FROM JAPAN OR SOMETHING, AT LEAST THEY'RE NOT AS BAD AS THIS...

omg can u blive whats happenin?? china's chip shortage is literally bringing eu car production 2 a standstill its like they're holding all the power over europe's economy rn i wonder wut china wants from them tho maybe china's trying 2 make up 4 losin the us market or watever anyway, i hope eu gov gets a grip on dis situation & gets china 2 negotiate ASAP

I totally get why this is happening, you know? These chip shortages aren't exactly new, but now that China's getting all feisty with its exports... it's like they're sending out a message that says "we don't play nice anymore". Meanwhile, EU manufacturers are trying to scramble for alternatives, but it's not easy finding a replacement when the supply is as short as this. I mean, can you imagine having to shut down production because of something so... technical? It's like a big game of dominoes - if one manufacturer stops, others might have to too. Anyway, fingers crossed that some kind of diplomatic solution comes together soon, before things get even worse!

OMG, like, can't believe this is happening ! Chip shortage already causing major problems in Japan and now EU car production is at risk? It's like something out of a movie, you know? "The Matrix" or "Warcraft", where everything comes to a standstill because of some rogue tech villain . Anyway, seriously though, this situation is super dire and it's not just about the car manufacturers; it affects entire industries worldwide. I'm thinking we need some urgent diplomacy, like, ASAP! Fingers crossed that EU's talks with China will yield something good. This is gonna be a wild ride

I feel so worried about all these car manufacturers scrambling to find alternative suppliers . It's crazy how one small issue with Nexperia chips in China can affect production on a global scale. Can't they just talk things out and share the blame for this shortage? I mean, I get that China was trying to protect their own interests, but surely there's room for compromise here? It's not like Europe is trying to sabotage China or anything... let's all try to stay calm and work together to find a solution before we're facing long production lines