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Volkswagen indicates shortage of Chinese chips would hit profits

about 11 hours ago
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Volkswagen has signalled that its annual profit targets are at risk without sufficient computer chips, in the latest sign that an expected shortage of semiconductors from China could hit carmakers across Europe.The struggling German automotive firm said a series of cost cuts and new model launches were helping to offset a slump in Chinese demand, but it added that forecasts were based on the “adequate availability of semiconductors”.Carmakers in the EU have said they may have to close production lines amid dwindling supplies of chips from Nexperia, the Chinese-owned producer.Beijing banned exports from Nexperia after the Dutch government took over the company, which is based in the Netherlands, at the end of September and suspended its Chinese chief executive after the US raised security concerns.VW company sold 6.

6m cars in the first nine months of 2025, up 1.8% year on year.It forecast an operating profit between 2% and 3% for the full year but said US trade tariffs were dragging on its most popular cars.The levies are expected to cost €5bn (£4.4bn) this year, said Arno Antlitz, VW’s chief financial officer.

Volkswagen reported a €1.3bn operating loss after a U-turn on its EV strategy at its subsidiary Porsche, announced in September, set it back €4.7bn in writedowns.Antlitz said on Thursday the chip problem was “not a technical shortfall or a capacity shortfall.It’s really induced by political discussion, and this is where we hope that all the relevant parties sit together and find solutions.

”Germany, which counts Volkswagen as one of its manufacturing powerhouses, reported a further stagnation in economic growth on Thursday.Gross domestic product was 0% in the last quarter as weak global demand and US tariffs continued to hit exports from the country.The European Automobile Manufacturers’ Association (ACEA) said this week that carmakers were days away from closing production lines because of the chip shortage.In 2021 a shortage of chips related to the Covid pandemic hampered car production.Volkswagen has had some success in countering a slowdown in deliveries to China by launching new models.

Its latest electric vehicles, including the Skoda Elroq, which entered production this year, have helped to boost sales.Antlitz said the product launches were paying off and VW was making progress on a restructuring programme, but “the financial result is significantly weaker compared to the previous year.This is partly due to the ramp-up of lower-margin electric vehicles.”Sign up to Business TodayGet set for the working day – we'll point you to all the business news and analysis you need every morningafter newsletter promotionCarmakers are also under pressure from a Chinese ban on rare earth exports.Donald Trump said on Thursday that Beijing had agreed to end a ban on deliveries of the minerals to the US for the next year.

Talks are due to take place in Brussels over the issue.Separately, the Vauxhall and Jeep owner Stellantis reported a 13% jump in third-quarter revenue and shipments compared with last year, in early signs of a turnaround under its new chief executive, Antonio Filosa.Stellantis said sales rose to 1.3m vehicles, also buoyed up by new product launches.A third of the year-on-year increase in sales came in the US, where it owns the Ram, Chrysler and Dodge brands.

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José Pizarro’s recipe for pumpkin and spinach with pimenton

I grew up with the taste of pimentón de la vera, the smoky, fiery spice Spain embraced from the New World and made its own. Pimentón gives our food its soul. One of the dishes everyone loves back home is espinacas con garbanzos (spinach and chickpeas), which is it’s simple, nourishing and full of comfort. At this time of year, however, when the markets are overflowing with sweet pumpkins, I love adding them to the mix, too. Their gentle, autumnal sweetness lifts the spinach and chickpeas beautifully, and they combine to create a dish that we’ve been serving all month at my restaurant Lolo in south-east London

3 days ago
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The £1 oyster: cut-price shellfish is all the rage – but is eating it advisable?

Name: Oysters.Age: Triassic – so about 250m years old.Appearance: Grey and snotty.Oysters, eh? What pearls of wisdom (see what I did there) do you have for me on the noxious bivalve? You’re not a fan, then?Absolutely not. What desperation drove early humans to think, “Time to smash open this forbidding, rock-like blob and eat whatever godforsaken, gelatinous mess it disgorges”? Well, younger diners don’t agree – they’ve gone mad for oysters

3 days ago
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Double, heavy, pure cream? Helen Goh’s guide to baking across borders – plus a finger bun recipe

When Sweet, the baking book I co-authored with Yotam Ottolenghi, came out in the United States in 2017, my excitement at seeing so many people bake from it was matched only by my horror at what I saw them pulling from their ovens on Instagram: pale cakes with thick, dark exteriors.Posts from Australian and British readers showed no alarming results and I quickly realised something had gone awry in the American translation. As it turned out, the recipes had been converted in-house by the publisher, using a straightforward formula to change celsius to fahrenheit. What no one had noticed was that the conversion also needed to take into account the oven setting: fan-forced versus conventional heat. Many American ovens, it seems, still don’t have a fan function

3 days ago
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Rukmini Iyer’s quick and easy recipe for beetroot, apple and feta fritters | Quick and easy

These are autumn in a fritter. Not only were they an unexpected hit with my 18-month-old, but, after trying one myself, I instantly crossed out the saffron arancini at the top of my list for an upcoming lunch party and replaced it with a delirious, “OMG make these fritters!” Not bad for a five-ingredient dish, and a lot less faff than arancini.Serve with a green salad and the dip alongside for a filling dinner on a cold evening.Prep 15 min Cook 20 min Serves 2-42 apples (I used Discovery) 2 medium beetroot, peeled and grated1 egg 200g feta, crumbled60g self-raising flour (gluten-free if you have it)Olive oil, for fryingFor the dip 3 heaped tbsp Greek yoghurt 3 heaped tbsp mayonnaise ½ lemon, juice and zestA pinch of sea saltGrate the apples skin and all into a clean tea towel, then twist and squeeze the towel over the sink to remove as much moisture as you can. Tip the grated apple into a large bowl, then add the grated beetroot, egg and crumbled feta, and mix well

3 days ago
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From harissa baked hake to chicken schnitzel: Ravinder Bhogal’s recipes for cooking with nuts

I always keep a stash of nuts in my kitchen cupboard. I scatter them, roughly chopped, over my morning yoghurt and fruit bowl, and when I feel an attack of the munchies coming on, I try (although I often fail) to reach for a handful of them in place of something sugary. These nutrient-dense superstars are high on the list of nutritionists’ favourite anti-inflammatory foods, and while all their health benefits are obviously terrific, I love them simply because they bring rich, buttery flavour, interest, and delightful texture to my cooking.Traditionally, schnitzels are coated in crisp breadcrumbs, but this delicious version using almonds and cornflour makes this nuttily delicious and suitable for anyone avoiding gluten.Prep 5 min Cook 45 min Serves 44 small boneless, skinless chicken breasts 50g parmesan, roughly chopped250g blanched almondsZest of 1 lemon50g cornflour Sea salt and black pepper2 eggs, lightly beaten1 tbsp dijon mustard Lemon wedges, to servePut a chicken breast between two sheets of baking paper, then use a rolling pin to beat the chicken until it’s about 1

4 days ago
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We tried Tyra Banks’ ‘revolutionary’ hot ice-cream, and colour us confused

I’m at Smize and Dream, the ice-cream shop founded by supermodel, Harvard alumna and entrepreneur Tyra Banks. There is a steady stream of customers for a weekday afternoon in Sydney’s Darling Harbour. I’m here for the Hot Mama, which Banks debuted in September, and claims is the world’s first hot ice-cream.According to its creator, the new dessert is neither a latte nor a hot chocolate and certainly not melted ice-cream. But if it’s none of these, then what is it?“Liquid, warm, soothing, yummy, silky,” Banks wrote on Smize and Dream’s Instagram

4 days ago
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Ofcom criticises O2 for going ‘against the spirit’ of new pricing rules

about 6 hours ago
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FTSE 100 winning streak ends as WPP shares hit lowest level since 1998; ECB holds rates at 2% - as it happened

about 10 hours ago
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Apple reports record iPhone sales as new lineup reignites worldwide demand

about 4 hours ago
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Amazon reports strongest cloud growth since 2022 after major outage

about 4 hours ago
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Borthwick hopes England can emulate Bazball mentality for autumn series

about 5 hours ago
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Enhanced Games are dangerous and must be stopped, says Wada head

about 6 hours ago