Khaberni - The German company Volkswagen has warned of a potential temporary stop in its production lines due to export restrictions imposed by China on semiconductors manufactured by "Nexperia," in a new crisis threatening the stability of supply chains in the global automotive sector.
The company explained in a statement reported by "CNBC" that "Nexperia" is not a direct supplier to them, but some of the components manufactured by the Chinese company are included in Volkswagen cars through their main suppliers.
It added: "We are in constant contact with all the relevant parties to assess potential risks and take necessary actions in case of any disruption in the supply chains," noting that production has not been affected yet, but short-term effects remain possible.
Volkswagen's statements come after the German Automobile Industry Association (VDA) warned that the ongoing dispute between China and the Netherlands regarding "Nexperia" could lead to significant production restrictions in the near future if the supply disruption is not quickly resolved.
Last month, the Dutch government acquired Nexperia, which is owned by Chinese investors, citing concerns that its critical technologies would not be available in emergency situations.
China responded by imposing a ban on the export of the company's final products, raising widespread concern in the European automotive industry.
The German Ministry of Economy stated that it is monitoring with concern the developments of the semiconductor crisis and its potential impact on the industrial sector, as Volkswagen shares fell by 2.2% during Wednesday's trading on the London Stock Exchange.
