Mercedes-Benz shores up microchip supply as Nexperia exports stall
A. Krivonosov
Mercedes-Benz temporarily secures microchip supplies amid Nexperia export block, highlighting fragile supply chains. EU may pivot to Korea, Japan, Taiwan.
Mercedes-Benz says it has temporarily shored up its microchip supplies despite the turmoil surrounding Dutch manufacturer Nexperia. The Netherlands earlier placed the company under state oversight over intellectual property concerns, a move that drew a response from China, where most of Nexperia’s production capacity is located. Beijing subsequently blocked exports of finished products, putting European automakers — Mercedes-Benz among them — in a vulnerable position.
Representatives of the German brand noted that the situation is under constant watch and that work with partners is underway to line up alternative sources of components. Even so, the company admitted that the complexity and instability of supply chains make long-term planning unrealistic for now. In effect, the current arrangement buys time rather than certainty.
The flare-up around Nexperia is another reminder of how exposed the car industry is to geopolitics. Semiconductors remain a pivotal ingredient for modern vehicles, especially hybrids and electric models. Analysts estimate that if exports of Chinese chips do not resume in the coming months, European brands will need to seek new partners in South Korea, Japan, and Taiwan.
