Consequences of the impact of COVID-19 on the Spanish automotive and semiconductor industries

Abstract

The objective of the following paper is to understand how the coronavirus crisis has affected the automotive industry and the semiconductor sector, as well as the relationship between the two. The concepts covered in this investigation are contextualized in the theoretical framework section. Here, we will aim to understand what semiconductors are, and their relevance in today's industry. As well as, the parties involved in the supply chain of this industry. Then the operation of the semiconductor value chain. On the other hand, the information related to the Spanish automotive industry is also stated in this document, getting to understand how the production and the national market works. Also, information regarding materials exports and the supply chain. Regarding the methodology used in this work, the systematic review of the literature is used. Its objective is the extraction of synthesis based on the available evidence. This study methodology is used to understand the proposed title of this investigation. Based on the compilation of diverse sources of information, conclusions are drawn to help understand the phenomena occurred in the vehicle and semiconductor industry. Mainly specialized sources in the automotive and semiconductor field, such as official private associations, are used throughout this investigation. This is followed by the question on “how COVID-19 has affected both industries”. Reviewing the impact of the pandemic in the short, medium and long term in the semiconductor sector. As well as the impact on the Spanish automotive sector. Where phenomena such as paralysis of demand, mobility restrictions, bottlenecks (due to excess demand), among others, have occurred. As well as the approach of measures taken for the recovery of the automotive sector. Finally, conclusions are drawn from the information gathered (through the compilation of various sources) to understand the relationship between the two industries and how they have been affected by the global coronavirus pandemic.