Supplier Novares seeks damages from carmakers over cancelled orders

FILE PHOTO: Cars are seen in a traffic jam during evening rush hour in Beijing, as the country is hit by an outbreak of the novel coronavirus disease (COVID-19), China April 8, 2020. REUTERS/Tingshu Wang

PARIS (Reuters) -French auto supplier Novares is claiming tens of millions euros in damages from its customers after a global shortage in semiconductor chips has forced many carmakers to halt production and cancel orders.

Novares, which makes plastic components used in one in three vehicles worldwide, is seeking compensation for the cancellations that have left its stocks piling up.