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Elm Analytics - Automotive Supply Chain Risk Digest #36 - October 13 - 19, 2017


Automotive Supply Chain Risk Digest

October 20 · Issue #36 · View online
Weekly highlights of the events that impact supply chain risk within the automotive industry.

PSA Group is cutting 400 jobs at its Vauxhall plant in Ellesmere Port to adapt to falling sales. Uncertainty surrounding Brexit is also a factor in the decision.
Automotive IT has an interesting interview with Delphi VP Mary Gustanski. They cover trends in connectivity, EVs, automation and complexity.
Technology advances often bring unintended consequences. Autonomous technology is a huge power drain and may be at odds with the gains from electric vehicles and fuel efficiency.
GM will be the first automaker to test self-driving cars in New York City. The tests using automated Chevy Bolts will begin in early 2018.
This week’s recommended long read:
  • Boston Consulting Group’s report on autonomous vehicles. In 2016, the group began working with the World Economic Forum and the City of Boston. It covers transportation challenges, strategic considerations, modeling and simulations, and field testing.
GM CAMI workers ended their four-week strike. They have voted to accept an agreement, but they didn’t get guarantees that the CAMI plant would be the lead producer of the Chevy Equinox.
The US Dept. of Justice is now looking into Kobe Steel over the recent fake quality data scandal.
Bridgestone and Toyo Tire will pay $29.6m and $36.1m, respectively, to settle lawsuits that they fixed prices and rigged bids in the late ‘90s and early 2000s. 
The European Commission has given the go ahead for Valeo to buy FTE. This decision requires Valeo to sell Raicam. Italy based Raicam makes passive hydraulic actuators.
MIT’s Media Lab is testing an ultra-lightweight, three-wheel autonomous vehicle in the tiny country of Andorra. The Persuasive Electric Vehicle (PEV) is designed to work in bicycle lanes. The project is part of the City Science Initiative that prototypes, deploys and tests urban innovation.
Magna has entered a joint venture with China’s Huayu Automotive Systems Co. to produce electric drive powertrains for an unidentified German automaker. The deal will help to expand Magna’s footprint in China.
The Australian auto manufacturing era officially comes to an end as General Motors’ Holden produced their last sedan and closed their doors this week.
Hella has laid the foundation for a new electronics plant in Lithuania. The plant will make sensors, actuators and control modules for European automakers starting in 2018.
Magna is planning to build a new paint shop in Slovenia to support production at its contract vehicle manufacturing facility in Graz, Austria. The plant will be 75km away from the Graz facility, employ 400 workers and open in late 2018.
After discovering that some vehicle inspections were performed improperly at several factories, Nissan has halted production of vehicles for the Japanese market. The stoppage won’t affect cars produced in Japan and exported.
Toyota’s North American director of international public policy says that the changes President Trump is seeking with NAFTA will be “impossible” for Mexico and Canada to agree to.
To pass to your favorite lawyer: 
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