Carmakers around the world are facing fresh uncertainty about their ability to continue production after China accused the Netherlands of failing to cooperate on resolving a dispute over the seizure of the chipmaker Nexperia. The Dutch government took control of the EU-based automotive chipmaker at the end of September because of concerns about the company’s Chinese parent, Wingtech Technology. In response, China halted exports of Nexperia products, restricting access to the vital components used in everything from airbags to central locking. Carmakers including Volkswagen, Honda and Nissan have warned tthe…
Tag: Automotive industry
Nexperia halts chip supplies to China in threat to global car production
Nexperia, the EU-based automotive chipmaker at the centre of a geopolitical dispute, has suspended supplies to its Chinese factory, stepping up a trade war that threatens to halt production at carmakers around the world. The company wrote to customers this week informing them all supplies to a Chinese plant had been suspended. In September, the Netherlands used national security laws to take control of the chipmaker, citing concerns that its Chinese owner, Wingtech Technologies, was planning to shift intellectual property to another company it owned. The Dutch government said that…
EU carmakers ‘days away’ from factories halting work in chip war with China
Industry body says reserves of Nexperia semiconductors are dwindling after Beijing bans exports of key components Carmakers in the EU are “days away” from closing production lines, the industry has warned as a crisis over computer chip supplies from China escalates. The European Automobile Manufacturers’ Association (ACEA) issued an urgent warning on Wednesday saying its members, which include Volkswagen, Fiat, Peugeot and BMW, were now working on “reserve stocks but supplies are dwindling”. Continue reading… The Guardian
Aston Martin cuts investment plan by £300m as Trump tariffs bite
Carmaker’s third-quarter losses bigger than expected at £112m, with weak demand in China also a factor Business live – latest updates Aston Martin has slashed £300m from its investment plans after the British carmaker reported a bigger than expected loss in the third quarter because of Donald Trump’s tariffs and weak demand in China. The company said on Wednesday that losses before tax were £112m in the third quarter of 2025, a ninefold increase from £12m a year earlier. Continue reading… The Guardian
Volvo and VW say Dutch takeover of Chinese chipmaker could halt car factories
Car companies across Europe and Japan including Volvo, Honda and Nissan, have warned that the Dutch takeover of a Chinese-owned chip manufacturer could hit production at factories. Last week’s decision by the Netherlands government to take control of Nexperia has sent shock waves around the auto industry, which is already facing potential shortages in products such as magnets amid China’s latest restrictions on rare earths exports. The Japan Automobile Manufacturers Association, whose members include Nissan, Toyota, Honda and Mazda, said on Thursday it had received a warning from Nexperia that…
The Guardian view on hybrid cars: profitable for carmakers but not very green | Editorial
“Why the future is hybrid,” chirruped the Economist in 2004. While electric vehicles (EVs) looked like science fiction, that prediction looked prescient. Fast‑forward 20 years and battery technology has improved dramatically; EVs are affordable. Last week it emerged that plug-in hybrid electric vehicles (PHEVs) aren’t very green. The sales pitch had been that motorists could use “clean” battery power for city jaunts and dirty petrol for longer trips. This promised sustainable travel without the anxiety of a limited range. But real‑world tests, by the European non-profit Transport and Environment, show that…
Chinese carmakers told to improve locking devices for UK market
British authorities may have well-founded concerns about the cyber-spying threat from vehicles made in China, but it turns out the country’s manufacturers have security worries of their own. Insurers have told Chinese carmakers they need certain critical modifications for vehicles on British streets: namely, tougher locking devices to make them harder to steal. With an average of 11 reported vehicle thefts an hour in the UK, and car crime comparatively rare under Beijing’s strict authoritarian regime, industry sources said it had been a “swift learning curve”. Additions to cars exported…
Tesla sales in Europe slump 40% as BYD new car registrations more than triple
Tesla sales slumped 40% across Europe in July compared with a year earlier as Elon Musk’s electric car company faces increasingly tough competition from its Chinese rival BYD. There were 8,837 sales of Tesla cars last month across the EU, the European Free Trade Association and the UK, according to figures from the European Automobile Manufacturers’ Association (ACEA). That compared with 14,769 at the same point last year. New car registrations for BYD across Europe rose to 13,503 last month, compared with 4,151 a year earlier. BYD now has 1.2%…
China’s overcapacity is creating instability at home and abroad | George Magnus
China’s astounding technological success in mass-producing quality electric vehicles (EVs) sits alongside a serious flaw in its industrial model: overcapacity. It has the capacity to produce about three times as many units as it can sell at home. The consequences so far have included widespread price cutting, large losses, misallocation of capital, and surging low-cost EV exports leading to trade conflict. The bigger problem, though, is that EVs are just a part of a broader overcapacity problem involving a myriad of sectors and products. At home, Chinese overcapacity lies at…
Chinese carmakers led by BYD report big rises in UK sales in July
Chinese carmakers led by BYD reported big jumps in UK sales last month, despite a declining overall car market, including a 59% slump in sales from their electric vehicle rival Tesla. BYD sales quadrupled year on year to reach 3,200 in July, even as overall sales of all types of car declined by 5% to 140,000, according to data published on Tuesday by the Society of Motor Manufacturers and Traders (SMMT), a lobby group. The car industry has said it is struggling with a weak economy, which is holding back…