ZF Friedrichhafen has cut several shifts at its large electronics factory in Schweinfurt, Germany – after the supply of key semiconductors deteriorated, Bloomberg reports, citing anonymous sources.
The factory employs around 8,000 people and is the company's most important production facility.
Other customers of ZF Friedrichhafen are car manufacturers such as Mercedes-Benz, Stellantis and Ford.
China's decision to throttle semiconductor shipments from Nexperia – a reaction to Dutch authorities taking control of the Chinese-owned chipmaker – is behind the development.
Volkswagen, Europe's largest car manufacturer by far, warned as recently as Thursday that access to semiconductors is crucial to reaching the group's financial goals.
German electronics manufacturer Bosch is also preparing production cuts at its Salzgitter factory.
