Category: Suppliers

By on November 15, 2018

By all accounts, the Hyundai Kona Electric is a zippy little crossover endowed with surprising range and the same basic utility as its gas-powered sibling, minus the whole all-wheel drive thing. However, a battery shortage afflicting the Korean automaker has added uncertainty to a model arriving on American shores this year.

Will it actually show up when a customer wants one?

Don’t worry about that, Hyundai’s telling dealers. There’s a plan to get Kona Electrics to America. Read More >

By on October 22, 2018

A key goal of Fiat Chrysler Automobiles’ financial fitness regimen, started under former CEO Sergio Marchionne, has come to pass under his successor, Mike Manley.

On Monday morning, FCA announced the sale of its Italian parts unit, Magneti Marelli, to Japan’s Calsonic Kansei, itself owned by KKR & Co. The deal, worth $7.1 billion, sees the parts unit don the name Magneti Marelli CK Holdings. It’s likely very good news if you’re an FCA shareholder. Read More >

By on July 23, 2018

Tesla Model 3

Agreements forged between automakers and suppliers aren’t etched in stone, and shaky financial ground has a way of altering how and when those suppliers are paid. Look back to the recession for prime examples of that.

However, a memo sent from Tesla to a supplier shows the electric automaker wants to recoup a portion of its previously spent cash — a request designed to help Tesla finally turn a profit. Read More >

By on July 20, 2018

FCA Brampton Assembly Line Challenger & 300 - Image: FCA

The thought of the U.S. imposing an import tax on Canadian vehicles and auto parts was once unthinkable, but the possibility now exists. Unable to ignore it any longer, Canada now says it will impose tariffs on American-built vehicles should the U.S. act first.

Canada’s contribution to the continent’s automotive landscape isn’t what it once was, but it’s still formidable when viewed in isolation. The Great White North, which continued building Studebakers for two models years after South Bend went dark, houses assembly plants operated by the Detroit Three, Honda, and Toyota.

With the glaring exception of pickup trucks, Canada would find itself with a (limited) crop of remarkably practical tariff-free vehicles if the taxes went into effect. Read More >

By on July 10, 2018

Image: Joe Ross/Flickr

Thank God we don’t have to look at that Google self-driving car anymore. You know the one — shaped like an unhappy egg wearing a little hat? That one. The one that inspired visions of a future where life is so sterile and miserable that it wouldn’t be hard to imagine masses of people throwing themselves on the road in front of these pod-like commuting appliances.

Still, even as self-driving technology advances, we’re treated to concept vehicles that don’t exactly stir the soul. Some recent designs deserve kudos, but many still resemble motor pool rejects from A Clockwork Orange, terrifying gearheads and libertarians alike.

It doesn’t have to be that way, claims one automotive supplier. You can have your sexy car and still tell it to drive you around. Read More >

By on June 25, 2018

2017 Volvo XC90 T8 R Design - Image: Volvo

The Chinese-owned Swedish brand’s first U.S. assembly plant, which is about to launch into production of the next-generation S60 sedan, will gain a second exclusive product in the form of the next-gen XC90.

As the priciest vehicle bearing a Volvo Cars badge, the XC90 remains a huge part of the brand’s — presence and profits — in the United States. And, when sole production of the model comes to the Southeast factory in just three years, workers will be tasked with building a model capable of Level 4 autonomy and all-electric driving. It’ll be a challenge, Volvo’s CEO says, but it’s necessary. Read More >

By on June 7, 2018

Honda Urban EV Concept unveiled at the Frankfurt Motor Show - Image: Honda UK

Not if you’re planning on leasing a Clarity Electric, of course, though future iterations of Honda’s greenest model could use what General Motors is pushing. Which is: a far more energy dense battery.

On Thursday, the two automakers announced a partnership to develop smaller, longer-ranged batteries for use in electric vehicles, primarily those sold in North America. Once the two achieve a breakthrough, GM will become Honda’s supplier. Read More >

By on June 2, 2018

BMW Spartanburg Assembly Plant Factory

As nations continue plotting how to best stab each other in the back in the wake the United States’ decision to impose steeper tariffs on aluminum and steel, manufacturers have to find a way to roll with the punches. Domestic BMW dealers have begun crapping their designer britches over fears that 3 Series models will suddenly host MSRPs in excess of $60,000 if the Trump administration follows through with a threat to impose high import duties on cars.

While we don’t know if the 25 percent import tariff on cars will come to pass, we do know the very real steel tariffs will shrink the profit margin of many vehicles. However, BMW is one of the first automakers we’ve heard discussing the purchase of more U.S. steel to mitigate costs. Read More >

By on June 1, 2018

Toyota Factory Kentucky

Toyota Motor Corp. says it had reached an agreement to consolidate all of its core electronics component operations within Denso. The move should allow Toyota to free up resources to compete more effectively in the new vehicle technology field.

Japan’s largest automaker noted it still has to discuss the logistics of transferring production of parts produced at its Hirose plant, near Toyota’s global headquarters, before the end of next year. But Denso, the company’s largest supplier, has already agreed to the core concept of the deal. By 2022, Denso will have taken over the mass production of all electronics components used in Toyota’s vehicles.  Read More >

By on May 23, 2018

Mobileye, the Israeli company that supplies camera-based driver assist technology to a host of automakers, just received a black eye.

While one of its Ford Fusion Hybrid testbeds cruised through the streets of Jerusalem to show off its autonomous driving abilities, the sedan, equipped with 12 cameras (three of them forward facing), four advanced EyeQ4 chips, and a television audience, drove merrily through a red light.

It’s technically not the car’s fault, Mobileye said. It’s the TV crew’s. Read More >

By on May 9, 2018

2018 F-150 Power Stroke Diesel, Image: Ford

As we told you yesterday, Ford announced it will temporarily halt production of the F-150 and Super Duty after a fire at Meridian Magnesium Products of America knocked out a key supplier. While the Blue Oval isn’t the only automaker affected by the supply shortage, as General Motors, Fiat Chrysler, BMW, and Mercedes-Benz also report the likelihood of production interruptions, Ford has the most to lose.

Taking the company’s most profitable vehicle out of the mix for a few weeks is a big deal. During a bad month, Ford might sell around 50,000 F-Series trucks in the United States. But a good month can see around 90,000 deliveries, so an unplanned idle probably has the automaker tugging at its collar a little. Fortunately, Ford currently has a 84-day supply of F-series pickups. That doesn’t mean it won’t feel the pinch if the wait on parts takes longer than expected.

The factory shutdown affects F-150 production at the Ford Kansas City Assembly Plant, which Ford said will last until at least May 14th. Super Duty lines at Kentucky Truck and Ohio Assembly have also shut down. Ford’s Dearborn Plant is expected to go down temporarily in the near future.

So, how far have the ripples spread? Read More >

By on May 7, 2018

All-New 2018 Ford F-150 - Image: Ford

Ford has paused production of the F-150 at its Kansas City Assembly Plant after a fire at one of the facilities belonging a Michigan-based supplier created a parts shortage. Meridian Lightweight Technologies makes instrument panel components for the pickup.

Roughly 3,600 unionized plant workers at the Kansas City facility have been told to cool their heels at home from May 7th to 14th, according to an Automotive News report.

Read More >

By on May 5, 2018

Car building will soon fire up again at Fiat Chrysler’s Brampton, Ontario assembly plant after employees at a just-in-time seat supplier called of their week-long strike. Late Friday, workers at Lear Ajax ratified a four-year wage contract with their employer.

Brampton Assembly, which builds the Chrysler 300, Dodge Charger, and Dodge Challenger, cancelled both shifts on Thursday after exhausting its limited seat supply. The new agreement between Lear and its Ajax workforce not only keeps seats flowing to FCA, it also keeps Lear from closing its doors for good. Read More >

By on May 4, 2018

2016 Dodge Charger R/T, Image: Fiat Chrysler Automobiles

Fiat Chrysler Automobiles cancelled both shifts at its Brampton, Ontario assembly plant Thursday, stemming the flow of Chrysler 300, Dodge Charger, and Dodge Challenger models.

Blame the work stoppage on a lack of seats. Brampton’s just-in-time supplier, Lear, saw its workforce go on strike last weekend after failing to reach a collective-bargaining agreement. However, a new wrinkle in this relatively commonplace labor action is that Lear plans to close its plant. Read More >

By on April 30, 2018

2017 Dodge Challenger GT AWD, Image: FCA

If every full-size car built by Fiat Chrysler was a Dodge Demon, the automaker’s limited supply of seats wouldn’t be as big an issue.

Well, the Demon’s dead, and all of the Chrysler 300s, Dodge Chargers, and Dodge Challengers built at FCA’s Brampton, Ontario assembly plant need a place for five occupants to plant their asses. As of a minute after midnight on Saturday morning, those seats are no longer rolling out of supplier Lear Ajax. A production slowdown in Brampton ensues. Read More >

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