| Chip Shortage threat to carmakers |
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 It will take several months for the earthquake-stricken Renesas Electronics to launch the new plants in Singapore and in western Japan. It is hard on the entire world's automotive industry. Renesas Electronics account for about 40 percent of the supply of electronic components to the world's automotive industry. Earthquake in eastern Japan knocked out Renesas main factory and although the company quickly planned for production, to Singapore the unaffected parts of Japan, announces it now that there will be a shortage of components, reports Automotive News. Modern cars use between 30 and 100 chip for almost all vehicle functions, not least in the engine, brakes and power steering. Most chips are specially designed for just a specific brand and a particular model and can not be replaced by any other electronic circuit at any time. - The situation is difficult. There will be problems trying to replace these components, "said Matteo Fini, an analyst at the consulting Supplier Business, to Automotive News. He believes that it can be difficult for the component that Freescale Semiconductor, Infineon Technologies and Texas Instruments to pay the shortfall from Renesas. The worst is that of Toyota Motor, which Renesas’s largest customer is. Eighty percent of microelectronics in a Lexus LS 460 comes from Renesas. While Toyota announces that it will launch a production in all of its 18 Japanese factories have been cutting its production in the U.S. and Europe because of component shortages. |
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| Last Updated ( Tuesday, 12 April 2011 ) |
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