On the Dash:
- Honda will gradually restart North American assembly plants after Nexperia semiconductor shortages disrupted production.
- The chip shortage stemmed from Nexperia’s seizure by the Dutch government and a temporary export suspension by China.
- Nexperia supplies critical transistors and diodes for automakers, and Honda has secured enough chips to resume operations.
Honda Motor said Monday that it will gradually resume operations across its North American vehicle assembly plants, signaling confidence that the supply chain strain caused by the Nexperia chip dispute is beginning to ease.
The automaker halted production at its Mexico plant on Oct. 28 and adjusted operations at its U.S. and Canadian facilities on Oct. 27 due to limited semiconductor availability.
The disruption followed the Dutch government’s seizure of the Netherlands-based chipmaker Nexperia from its Chinese parent, Wingtech Technology. Officials cited economic security concerns following suspicions that Nexperia’s CEO was shifting production, financial resources and intellectual property to China. In response, Beijing ordered Wingtech to suspend Nexperia’s exports. On Nov. 9, Chinese officials confirmed that they had taken the steps to exempt compliant exports of Nexperia chips for civilian use.
Nexperia dominated the market for basic transistors and diodes, controlling nearly 40% of the segment. Automakers rely heavily on these semiconductors for essential vehicle systems such as door locks, climate control and speedometers.
A Honda spokesperson told Reuters that the company had secured sufficient chips to resume production, but did not confirm whether Nexperia had resumed shipments directly to Honda. The spokesperson added that production plans remain subject to change.
