The global shortage of semiconductors is once again tightening its grip on the automotive industry. Bosch, one of the world’s largest suppliers of vehicle components, has confirmed that it has registered short-time work measures (“Kurzarbeit”) for its facility in Salzgitter, Lower Saxony. The company says the step is necessary to stabilise operations while chip deliveries remain inconsistent.
Semiconductor bottlenecks disrupt industrial production
According to Bosch, the availability of chips critical for automotive electronics remains unpredictable, forcing production to be adjusted at short notice. The company said it must “react flexibly to ongoing production planning” and use state-supported short-time work to safeguard jobs and respond quickly to supply variation. The current environment, Bosch emphasised, continues to pose “major challenges” for its manufacturing network.
Automakers and suppliers have been dealing with disruptions for months, especially in Europe, where the push towards electric mobility and digital systems has surged demand for high-performance semiconductors. Without steady volumes of these components, modern vehicles cannot be completed — from driver-assistance systems to power management units.
Nexperia’s export complications ripple through the industry
A key disruption stems from Dutch chipmaker Nexperia. The Dutch government recently increased supervision over the firm due to security concerns linked to its Chinese parent company. In response, China halted exports of certain semiconductor products destined for the automotive sector.
This sudden restriction has triggered a chain reaction: global manufacturers are facing uncertainty in their supply schedules, leaving production lines and logistics departments scrambling for alternatives.
Automakers prepare for contingencies
Several international carmakers have acknowledged the risk of reduced output if deliveries do not improve soon.
BMW and Volkswagen are among the major European brands closely monitoring the situation, while Jeep-manufacturer Stellantis has already established a crisis task force to assess short-term countermeasures. Nissan stated its current chip inventory would support production only through the first week of November — a narrow buffer that underscores the fragility of the market.
A broader challenge for Germany’s industrial backbone
The Salzgitter plant plays a strategic role in Bosch’s European supply chain, and any slowdown can quickly cascade into downstream assembly lines. Experts warn that even brief interruptions can lead to costly rescheduling, delayed vehicle deliveries, and vulnerability in a highly competitive market.
Despite the uncertainty, Bosch stresses that short-time work is intended as a temporary stabiliser rather than a long-term shift in industrial strategy. The company says it is working closely with suppliers, customers and the government to restore steady semiconductor flows.
Outlook: recovering supply remains a global effort
While chip production worldwide is gradually expanding, analysts caution that full market stabilisation may still take months. The automotive industry relies on complex, globally distributed manufacturing — and any political or logistical shift can quickly unsettle the system.
For now, companies like Bosch must remain agile, balancing workforce protection with operational continuity. The situation illustrates once again how deeply Germany’s economic strength is connected to secure access to advanced microelectronics.
