Report: Climate Change vs. Carmakers
Report: Automotive headwinds align into a perfect storm
As OEMs look to reduce production costs and manage more complexity, automotive suppliers will face challenges. But with more EV models in the pipeline, many have the opportunity to grab a larger piece of the pie both for manufacturing and supply chain management.
With the global automotive industry experiencing stagnating volumes and simultaneously transitioning to electrified powertrains, automotive tier 1 suppliers are facing a squeeze. Many will see lower manufacturing volumes and will need to look carefully at ways to reduce factory, labour and supply chain costs.
However, automotive suppliers also have an opportunity to play a larger role in the total supply chain and manufacturing process for their OEM customers. Some suppliers are responding to the erosion of their margins by taking over more parts of the automotive value chain. That includes transitioning to ‘full service’ supplier relationships, such as ‘build-to-suit’ processes with automotive OEMs, alongside more standard ‘build-to-print’ services.
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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 new average fleet targets that came into force in Europe on January 1st 2020 are having big impacts on vehicle development and technology, pushing OEMs to produce and sell more hybrids and EVs. But the rules are complex and varied by brands, volume and sales. Here we provide a summary of the key rules and terminology.
The latest report by Automotive from Ultima Media examines the profits and outlook for the top 20 automotive parts suppliers and explores the strategies and solutions they should consider to avoid significant disruption in the 2020s, including the key role they will play in automotive design and R&D
ZF Friedrichshafen has joined the Mobility as a Service (MaaS) Alliance, a European platform that is working to foster a new ecosystem of public and private transport services.
Faurecia has entered into a joint venture with Aptoide to develop and offer apps for automotive applications.
