Headlines
Germany's ZF confirms capacity adjustments, denies chip crunch as reason
Published by Global Banking and Finance Review
Posted on October 31, 2025
1 min readLast updated: January 21, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on October 31, 2025
1 min readLast updated: January 21, 2026
ZF adjusts production in Schweinfurt due to customer demand, not chip shortages. Shift changes are confirmed amid potential supply chain disruptions.
BERLIN (Reuters) -German automotive supplier ZF has a secure supply of chips in the short term but it is making adjustments at its site in the city of Schweinfurt due to changes in customer demand, a company spokesperson said on Friday.
Bloomberg had reported earlier that the company was reducing production there due to a semiconductor shortage sparked by a conflict with China over supplier Nexperia, citing people familiar with the matter.
The spokesperson for ZF said production stoppages or disruptions were possible if problems in customers' supply chains lead to fewer orders or if the company's own supply is interrupted.
"We are prepared for this and can adjust our production capacities accordingly," the spokesperson added.
He confirmed changed shift schedules in Schweinfurt but said these were "currently unrelated to the chip shortage and are instead due to fluctuating customer demand".
(Reporting by Rachel MoreEditing by Ludwig Burger and Matthias Williams)
Customer demand refers to the quantity of a product or service that consumers are willing and able to purchase at a given price during a specific time period.
Production capacity is the maximum output that an organization can produce in a given period under normal conditions.
Supply chain management involves overseeing and managing the flow of goods, information, and finances as they move from supplier to manufacturer to wholesaler to retailer to consumer.
Financial stability refers to a condition where the financial system operates effectively, allowing for the smooth functioning of the economy, with minimal risk of financial crises.
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