Germany's Volkswagen and Franco-Italian chipmaker STMicroelectronics will co-develop a new semiconductor amid a global microchip crunch that has strained the car industry's supply chain, the companies said on Wednesday. 

The move illustrates how Volkswagen, Europe's biggest carmaker, is striving to gain greater control over the supply of chips, found in ever greater number in new generation and low-carbon emission vehicles. 

It is Volkswagen's first direct relationship with second- and third-rank semiconductor suppliers, a move executives have hinted at since the chip shortage hit the auto industry in late 2019. 

Volkswagen software unit Cariad and STMicro are set to co-design the new chip, which will be part of the Stellar microcontroller family of semiconductors, the companies said in a statement. 

Both companies are "moving to agree" that Taiwan Semiconductor Manufacturing Company (TSMC) will manufacture it, the statement said. 

The global semiconductor shortage has left automakers worldwide unable to service record-full order books with unfinished vehicles clogging up warehouses for months and no clear end in sight. 

(With input from Reuters)