Automaker group warns Nexperia chip supply issue could quickly disrupt US production

A group representing major automakers warned late on Thursday that a chip supply disruption could quickly disrupt U.S. auto production. Carmakers and their suppliers received notice from chipmaker Nexperia last week it could no longer guarantee delivery of its chips stemming from a dispute between China and the Dutch government.

The Alliance for Automotive Innovation, which represents General Motors, Toyota, Volkswagen, Hyundai, and nearly all other major automakers, urged a quick resolution. "If the shipment of automotive chips doesn’t resume – quickly – it’s going to disrupt auto production in the U.S. and many other countries and have a spillover effect in other industries," said the group's CEO John Bozzella.