BERLIN, Nov 19 (Reuters) - German carmaker BMW

welcomed the "positive signals" on the Nexperia dispute on

Wednesday but said the situation remains volatile.

"Production at our plants is continuing, but the situation

remains volatile," said a BMW spokesperson.

"We explicitly welcome the positive signals from the

political sphere on this issue. We are continuously monitoring

this development but cannot comment further at this time."

The Dutch government said on Wednesday it was suspending its

intervention at computer chip maker Nexperia after talks with

China over a dispute which has led to shortages of chips needed

by car manufacturers.