Nexperia Dispute Triggers Honda Mexico Halt as Automakers Warn of Wider Shortages

Overview

• Honda shut its Celaya, Mexico vehicle plant and began cutting output in Canada and adjusting schedules in the United States due to a shortage of Nexperia-made chips.
• Europe’s auto lobby warned factories could stop within days, with Mercedes saying it has short-term supplies and Volkswagen cautioning it cannot rule out interruptions after next week.
• Aumovio in Germany prepared short-time work in Villingen as chip bottlenecks spread through suppliers.
• The U.S. manufacturers’ group MEMA said American vehicle plants are only weeks from significant production impacts if the dispute persists.
• Wingtech criticized the Dutch intervention as imprudent, while broader risks grew with China’s rare-earth exports down 31% in September and Nexperia’s control-system chips proving hard to replace.