Honda ties up with TSMC to secure stable supply of chips

Honda Motor Co. said Wednesday it has tied up with Taiwan Semiconductor Manufacturing Co. on chip procurement, aiming to ensure stable supplies of the key device for vehicles.

TSMC’s chips will be used in Honda’s products from around 2025, the company said. The move is part of the automaker’s medium- and long-term strategy to strengthen ties with semiconductor producers, it said.

A global chip shortage had forced automakers worldwide to reduce production, leaving them unable to meet demand.