This report helps automotive suppliers inform their legal and operational decisions to help them overcome challenges and seize opportunities.
- IHS Markit lowered its forecast for global light vehicle production to 75.8 million units in 2021, and 82.6 million units in 2022, which represents a downward adjustment of 6.2% and 9.3%, respectively. The company noted that this was the biggest adjustment to its outlook in the past nine months, and it expects continued supply chain risk, especially for semiconductors.
- New vehicle inventory in the United States is estimated at 1.08 million units at the end of August, a 31-day supply; this is a decrease of 57% from the same period a year ago.
- Wholesale price of used vehicles increased 3.6% in the first 15 days of September, compared to the previous month. The increase is attributed to ongoing inventory issues for new vehicles and the demand for replacement vehicles following Hurricane Ida.
- Intel CEO Pat Gelsinger predicts that semiconductors will account for 20% of the material cost of a high-end passenger car by 2030, up from 4% in 2019. The size of the automotive semiconductor market is expected to nearly double to reach $ 115 billion by the end of the decadehence the need to increase collaboration between car manufacturers and chip makers.
- DG will extend production cuts at six plants in Michigan, Kansas, Missouri, Ontario and Mexico due to the current shortage of chips.
- NHTSA requested data on Advanced Driver Assistance Systems (ADAS) from 12 automakers, in order to compare ADAS-equipped vehicles as part of the agency’s investigation into Tesla’s accidents involving its system autopilot.
- Ford will partner with IA Argo and Walmart test an autonomous vehicle delivery service for customers in certain areas of Miami; Austin, Texas; and Washington DC, starting later this year.
- Electric vehicles and low emission technology:
- Ford will invest $ 250 million to double the production capacity of its All-Electric F-150 Lightning Pickup Truck to 80,000 units per year; this vehicle should be released in spring 2022.
- Rivien is building its first production unit of the R1T battery-powered electric pickup truck, and the company begins deliveries to customers this month.
- DG will extend a production shutdown for Chevrolet Bolt EV of three weeks, as it resolves the battery issues that led to the vehicles being recalled.
- SK Innovation plans to split its battery business, and the unit is expected to first launch as a wholly owned subsidiary next month.
Market trends and regulation
- Iron and steel prices have nearly doubled in the past year, according to commodity data tracked by the federal government. The increase is attributed to strong demand, as well as tariffs on imported steel.
- NHTSA opened a new investigation into approximately 30 million potentially defective U.S. vehicles Takata airbag inflators. The probe covers model years 2001 through 2019 and nearly two dozen automakers.
- Automotive and steel companies strive to meet the long-term goal of developing low-carbon steel, as regulatory pressures intensify to increase sustainable manufacturing processes.
- The US Department of Commerce and White House Economic Advisor Brian Deese will host a meeting on the semiconductor supply chain with industry leaders on September 23.
OEM / suppliers
- Impact on production of the semiconductor shortage –
- Stellantis downtime announced for his Jefferson North Assembly Plant in Detroit for the week of September 20, affecting production of the Jeep Grand Cherokee SUV.
- Volkswagen predicts that the semiconductor shortage will not improve until the second half of 2022.
- A GM joint venture in China with partners, SAIC Motor Corp. and Guangxi Automobile Group, said it intends to increase the use of locally sourced fleas over the next five years. The comments were made during the World Congress for New Energy Vehicles, and the partners also said they have been developing automotive chips since 2018. However, it was not clear whether the focus was on design or construction. chip manufacturing.
- Volvo is preparing for a first public offering “in the coming weeks”, according to anonymous sources in Reuters. Volvo and its parent company, Geely Holding, did not comment on the article.
- The MoveOn political action committee drew attention to DG for donating to members of Congress who voted in January against certification of the 2020 presidential election results. Earlier this summer, ToyotaS campaign contributions have been the subject of negative reviews from the Lincoln Project.
- DG intends to make “substantial changes” in its supply chain, including “Establish direct relationships” with chipmakers, according to remarks from CEO Mary Barra.
- Ford‘s Flat rock assembly plant resumed production on September 20, after a two-week shutdown caused by a gas leak.
Connected / autonomous vehicles and mobility services
- You’re here announced that its customers will soon be able to request an improved version of its driver assistance software designed for urban environments. However, the National Transport Safety Office said the company would need to address security concerns in its existing technology before offering extended functionality.
- China develop a system for monitor data sent abroad by vehicles, according to a statement from the China Automotive Engineering Research Institute Co. Automakers including Tesla, Ford and BMW recently announced plans to set up local data centers in China as the country takes steps to increase surveillance data collected by private companies.
Electric vehicles and low emission technology
- Electronics contract manufacturing company Foxconn put his EV project with Byton on hold, due to the “deterioration of the financial situation” of the Chinese startup, according to anonymous sources in Nikkei Asia.
- A Chinese startup supported by an electric vehicle manufacturer Xpeng Inc. announced that he will deliver electric flying cars to customers in 2024.
- Vitesco Technologies, a Continental spin-off that focuses on electrified powertrains, began trading publicly on the Frankfurt Stock Exchange last week.
- The Lucid air The luxury sedan received an EPA range rating of up to 520 miles on a full charge. It is the first electric vehicle to exceed a range rating of 500 miles.
- According to a recent Earthjustice report, “widely deployed green hydrogen is still at least a decade away” and green hydrogen is less efficient than using renewable electricity. Green hydrogen does not produce greenhouse gas emissions and does not use fossil fuels, but today hydrogen is most often produced using fossil fuels.
Prepared by Julie Dautermann, Business Intelligence Analyst[View source.]