Intel promises help for automakers as Biden works to fix chips shortage
By Nandita Bose and Stephen Nellis
WASHINGTON (Reuters) -U.S. President Joe Biden met with
executives from major companies on Monday to discuss the global chip shortage
that has severely hurt U.S. automakers and spurred Intel Corp to
announce it plans to make chips for car plants at its factories in the next six
to nine months.
During the meeting, Biden said he has bipartisan support for
legislation to fund the semiconductor industry.
He previously announced plans to invest $50 billion in semiconductor manufacturing
and research as part of his broader focus on rebuilding U.S. manufacturing
included in his $2 trillion infrastructure plan.
Intel Chief Executive Pat Gelsinger, who attended the meeting
virtually, told Reuters the company wanted to start producing chips at its
factories within six to nine months to address a shortage that has idled
assembly lines at some U.S. automotive plants.
The supply crunch could lead to a potential 1.3 million shortfall
in U.S. car and light-duty truck production this year.
"We're hoping that some of these things can be alleviated,
not requiring a three- or four-year factory build, but maybe six months of new
products being certified on some of our existing processes," Gelsinger
said. "We've begun those engagements already with some of the key
components suppliers."
Intel last month announced plans to vastly scale up chips
manufacturing for outsiders as it builds new factories in the United States and
Europe. Its talks with automotive suppliers disclosed on Monday represent an
acceleration of those plans.
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