Report: Climate Change vs. Carmakers
Report: Automotive headwinds align into a perfect storm
Trade uncertainties such as those between the US and China, or the UK and the EU, could put the brakes on growth in the electric vehicle and battery technology for some OEMs and countries, despite bullish forecasts for alternative powertrains
The automotive industry is highly exposed to trade disputes, tariffs and the ongoing ideological and economic battle between protectionism and free trade, and any significant disruption to these movements, be it higher tariffs, lengthy border checks or regulatory compliance issues, can put assembly lines at risk. The costs would also likely erase the relatively low operating profits typical across OEMs and tier suppliers.
What’s more, the extra costs and red tape in global trade complicate OEM and tier supplier investments and plans for significantly greener, more efficient technology. For example, automotive companies are spending billions of dollars to transition to electrified powertrains, in part to meet tightening emissions regulations in major markets like the EU, China and Japan. Over the next decade, Automotive from Ultima Media forecasts that the combined market share of hybrid, electric and hydrogen powertrains among new vehicle sales will increase from around 8% today, to 55% by 2030.
But that growth will depend on access to markets, economies of scale and technology exchanges across regions…
Your free registration includes:
If you have already registered, please login to your account for access to the report.
ZF is planning a joint venture for the production of electric motors and components with China’s Wolong Electric.
A squeeze on automotive suppliers, together with the adaptation of new technology, will lead some major players to play a bigger role in overall vehicle development cycles, especially in shaping customer user experiences
As OEMs and automotive parts suppliers see their margins decline, cost pressures are going to increase on logistics operations and service providers further down the supply chain
The Mercedes-Benz Formula E racing team will use the SAP Hana platform and other SAP software as it prepares for the first all-electric race of the season November 22 in Diriyah, Saudi Arabia, the German business software group said.
Volvo Cars says it will become the first carmaker to use blockchain technology to trace the origin of the cobalt it buys for its batteries.
Volkswagen’s ID. models, which will form the heart of the carmaker’s electrification strategy, will feature Continental’s ICAS1 in-car application server to provide the computing power for the cars’ functional domains.
