Qiao Yueshan stated that, overall, domestic semiconductor companies lack sufficient experience in meeting the demands of the automotive industry, as well as in developing and promoting automotive semiconductor products. The chip supply shortage since the fourth quarter of last year has further highlighted the insufficient supply capacity of automotive semiconductors. To promote collaboration across the automotive semiconductor industry chain, the "Automotive Semiconductor Supply and Demand Matching Manual" (hereinafter referred to as the "Manual") was created. In June of last year, the Electronic Information Department of the Ministry of Industry and Information Technology, together with the Equipment Industry Department, initiated the compilation of this manual.
According to reports, the handbook includes 568 products from 59 semiconductor companies, covering 10 major categories and 53 subcategories, including computing chips, control chips, power chips, communication chips, sensor chips, information security chips, power supply chips, driver chips, memory chips, and analog chips. This represents 80% of the 66 subcategories of automotive semiconductors. Of these, 246 products, or 43% of the total, have already been applied in vehicles. The handbook also includes 1,000 product demand records from 26 automotive and parts companies, representing 14 vehicle manufacturers such as FAW, SAIC, BAIC, and BYD, and 12 automotive parts companies such as Desay SV and CATL.
Qiao Yueshan expressed his hope that automotive semiconductor companies would seize the opportunity, strengthen their analysis and research on key semiconductors in the automotive field, and increase investment and strengthen R&D in products that are in the most urgent need of the automotive industry and have a good technological foundation.
It is understood that the Electronic Information Department and the Equipment Industry Department will guide relevant units to continue to strengthen the supply and demand matching of automotive semiconductors, and continue to increase efforts in technological breakthroughs in automotive semiconductors, using the manual as a blueprint.
In addition, reports indicate that TSMC has agreed to prioritize automotive chip orders, with prices 20% higher!
TSMC had previously stated that it was prioritizing addressing the chip supply challenges affecting the automotive industry and was “accelerating” the production of these products through its wafer fabs.
In a statement, the company said, "TSMC is currently accelerating the production of these critical automotive products through our wafer fabs. As our capacity is being fully utilized to meet demand across various sectors, TSMC is reallocating our wafer capacity to support the global automotive industry."
According to the latest news from Digitimes, TSMC has agreed to prioritize orders from its automotive chip customers, thereby granting them SHR (Super Urgent) status.
Sources indicate that automotive chip suppliers are also willing to pay more for their supplies. Sources also say that TSMC's other existing fabless customers, particularly second-tier clients, may experience shipment delays as early as the second quarter.
Furthermore, the source stated that orders requiring SHR (Self-Recovery Processing) are quoted at prices more than 20% higher than regular prices. The source continued, saying that orders requiring SHR will also delay production plans for work-in-process (WIP) orders.
