Summary
A trade dispute between China and the Netherlands affects Bosch and other car part suppliers. Bosch might furlough workers at a German plant if the issue with the Dutch chipmaker Nexperia continues. This situation could worsen the challenges facing Europe's car industry.
Key Facts
- Bosch may furlough employees at its Salzgitter plant in Germany due to chip supply issues.
- The dispute is between China and the Netherlands over the Dutch chipmaker Nexperia.
- China banned exports of Nexperia products after the Netherlands seized control of the company.
- Nexperia's chips are essential for car parts, impacting the European car industry.
- Bosch is searching for alternative suppliers to avoid production halts.
- Volkswagen has secured its production for the near term but acknowledges potential short-term impacts.
- BMW and Mercedes have also reported challenges with their supply networks.
- Chip supplier alternatives include Infineon, NXP, and Texas Instruments, but switching takes time.
- Political discussions are ongoing to find a solution to the dispute.
