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Evening Standard

Business

Simon Hunt

Volvo and Renault say war in Ukraine making semiconductor shortage worse

Renault Volvo Ukraine Europe

Employees of the Avtoframos automobile plant assemble a Renault Logan model in Moscow
(Picture: AFP via Getty Images)

Two of Europe’s biggest car makers sounded the alarm on the global semiconductor shortage blighting the auto industry today, warning that war in Ukraine had made the problem worse.

French car maker Renault said its order backlog hit a 15-year high in the first quarter as a semiconductor shortage held up production. Volvo boss Martin Lundstedt warned of a “strained” supply chain, with war in Ukraine and the spread of Covid-19 in China making existing problems worse.

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