German suppliers (ARGEZ) warn: Semiconductor shortage threatens our industry, communication and collaboration are needed
The crisis due to the shortage of semiconductors is putting increasing pressure on the automotive supplier industry. The warning call comes from ARGEZ, the association representing German automotive suppliers, member of CLEPA.
The continuing semiconductor shortage crisis – triggered by the outbreak of the Covid-19 pandemic almost two years ago – has forced car manufacturers to significantly reduce production volumes in 2021, causing serious repercussions for suppliers.
As reported by ARGEZ, delivery orders are cancelled at short notice and delivery trucks have often had to turn back, full. The warehouses are full, and the costs for logistics and storage are dramatically increased. According to ARGEZ, the planning that currently underpins supply chains.
The already difficult situation is compounded by rising prices for raw materials, putting even greater stress on companies short of liquidity, especially the medium-sized ones.
Christian Vietmeyer, ARGEZ spokesman, stated the need to establish transparent communication and honesty and fair relationships between the companies involved in the supply chains as soon as possible.
In: CLEPA News, Growth & Competitiveness