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Chipmakers will need a couple of weeks to resume production in Texas

It will take a couple of weeks for chip makers, including Samsung Electronics, to resume production in Texas after shutdowns caused by severe weather and an energy crisis. However, the clients of these companies may feel the repercussions for several months.

Samsung, NXP Semiconductors NV and Infineon Technologies AG were ordered to close factories in Texas last month after snowfall left millions of Texans without electricity.

The forced hiatus coincided with a chip shortage hitting the automotive industry particularly hard. All three companies listed above supply, among other things, microcircuits for automotive electronics.

Chipmakers will need a couple of weeks to resume production in Texas

“Chip makers already have the electricity, water and gas to operate, but they need time to restart tools and clean up factories,” said Edward Latson, CEO of the Austin Regional Manufacturers Association.

According to him, this is a slow and “very expensive” process.

Samsung said on Tuesday that it “may take longer to reach normal levels as the factory is being reviewed and reconfigured.”

Due to the lack of stocks, the suspension effect appeared immediately, but taking into account the length of the production cycle, the interruption will affect several more months.

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