Reuters about ON Semi Automotive Supply Chain

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Title : Reuters about ON Semi Automotive Supply Chain
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Reuters about ON Semi Automotive Supply Chain

Reuters gives an example of automotive camera international supply chain:

"...consider a chip supplied by a U.S. firm for Hyundai Motor Co’s new electric vehicle, the IONIQ 5.

Production of the chip, a camera image sensor designed by On Semiconductor, begins at a factory in Italy, where raw silicon wafers are imprinted with complex circuitry.

The wafers are then sent first to Taiwan for packaging and testing, then to Singapore for storage, then on to China for assembly into a camera unit, and finally to a Hyundai component supplier in Korea before reaching Hyundai’s auto factories.

A shortage of that image sensor has led to the idling of Hyundai Motor’s plant in South Korea, making it the latest automaker to suffer from global supply woes that crippled production at most automakers including General Motors Co and Ford Motors Co and Volkswagen.

And the winding journey of the image sensor shows just how complicated it will be for the chip industry to both ramp up capacity to address the current shortage and re-invigorate U.S. chip manufacturing.

“Trying to reconstruct an entire supply chain from upstream to downstream in a single given location just isn’t a possibility,” David Somo, senior vice president at ON Semiconductor, told Reuters. “It would be prohibitively expensive.”


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