Design centers lead to the track – Newspaper Kommersant No. 26 (7471) dated 02/13/2023

The authorities of the Russian Federation, together with participants in the microelectronics market, are trying to find new ways of development for domestic design centers, which, due to sanctions, cannot produce modern chips in foreign factories. One of the directions can be the development of electronics for auto components. Russian automakers confirm that shortages of parts, caused both by a global shortage of specialized chips and sanctions, remain. So far, the problem is partially solved at the expense of Chinese partners of domestic automakers and supplies from friendly countries, market participants specify.

According to Kommersant sources close to design centers and the government, representatives of relevant ministries and top managers of Russian microelectronics developers are discussing a strategy for the development and production of auto components in the Russian Federation (controllers, sensors, control modules, sensor systems, etc.). One of Kommersant’s interlocutors clarifies that B1 analysts (the former Russian division of Ernst & Young) are involved in the work. B1 declined to comment.

The interlocutor of Kommersant, close to the Ministry of Industry and Trade, confirms that the design and production of components in Russia is “one of the possible models in the face of sanctions and a global shortage of auto electronics.” According to him, design centers should soon complete the preparation of relevant plans, taking into account the needs of car factories. Kommersant’s source adds that the certification of such components “takes time, so the plans are long-term.”

Mikron recognizes that auto electronics is a “promising direction”, and the plant has an IATF 16949 certificate (a standard for quality management systems for suppliers in the automotive industry) and “already mastered components for body electronics and engine management systems, driver assistance systems, lighting devices “. The company claims that “there is an opportunity to expand the range, but the corresponding development of consumers in the automotive industry is needed.”

For the production of automotive components, there will be enough production lines with 90 nm standards already mastered by Russian factories, says Dmitry Kornachev, director of the association “Consortium of enterprises in the field of automotive electronic devices and telematics”. However, he believes, “taking into account the workload of Russian semiconductor factories, the serial production of such components may begin in 2024-2025.”

The shortage of electronic components continues to affect car production around the world, Russian manufacturers say. “In Russia, the problem is exacerbated by sanctions pressure, as well as the decision of some suppliers, such as Bosch, to leave the Russian market,” AvtoVAZ notes. In 2022, the concern localized more than 200 components, some of which are electronic, “also, some of the components were replaced by analogues from friendly countries,” AvtoVAZ says.

Motorinvest (produces Evolute) says that now they are not experiencing problems with the component base in the production of electric vehicles. “Our technology partner from China is involved in the production,” they note there. Further localization will allow the use of Russian-made components and “give impetus” to an increase in the production of components, providing more affordable prices, the company believes. A Kommersant source in another automaker adds that without electronic components it is impossible to improve the key components of cars, “you need to be based on guaranteed solutions, and not on resourcing, which does not guarantee either cost, long-term, or focus on the needs of the Russian automotive industry “.

Meanwhile, the Russian auto industry and the automotive market are themselves in a deep crisis, and its needs may simply not be enough to develop the production of components. Sales of passenger cars and LCVs in Russia in 2022 fell by 58.8% to 687.4 thousand cars. The production of passenger cars in the country, according to Rosstat, fell even more – by 67%, to a historic low of 450 thousand cars.

Even with the restoration to the level of 2021, the automotive industry of the Russian Federation needs about 20 million electronic control units (engine, gearbox, suspension, body, telematics), Mr. Kornachev notes. “The serialization of electronic components, depending on the type of product, ranges from tens of millions (for processors and printed circuit boards) to billions of units (for capacitors and resistors) per year,” he says.

Nikita Korolev, Olga Nikitina