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Elm Analytics - Supply Chain Risk Digest #5 - March 11 - 17, 2017


Automotive Supply Chain Risk Digest

March 17 · Issue #5 · View online
Weekly highlights of the events that impact supply chain risk within the automotive industry.

Spanish port workers suspended three days of strikes scheduled for March 10, 13 and 15, but they are still planning walkouts for March 17, 20, 22, and 24.
Changes in the litigation, enforcement and the regulatory landscape top the list of legal issues facing the Automotive Industry in 2017.
Nissan, BWM and Ford sued Takata in US federal court this week for faulty airbags. Takata is facing a possible bankruptcy and possible takeover by Key Safety Systems.
An incredible amount of activity this week:
Intel has purchased Israeli autonomous vehicle technology firm Mobileye for $15.3 billion. The acquisition could propel Intel into the front ranks of automotive suppliers. Mobileye is a Tier 2 who supplies all 27 major automakers outside of Toyota.
Possibility of massive merger? VW CEO, Matthias Mueller, told reporters that he would not rule out talks with FCA.
Nvidia and Bosch are teaming up to make an AI-enabled computer that can be mass-produced to serve as the brains for driverless vehicles.
Samsung has acquired Harman for $8 billion. This brings together Harman’s iconic audio brands and capabilities paired with Samsung’s leading display technologies.
Mahle’s Mechatronics Division will buy Spanish automotive electronics supplier Nagares SA. Nagares develops and manufacturers control modules for powertrain, thermal management and power conversion.
A “horrific” fire has destroyed the Muskegon Castings Corporation (Port City Group / Pace Ind.) foundry in Muskegon, MI. The aluminum die castings disruption will affect supply chains from GM, Toyota, Subaru and BMW.
Firefighters were called to the scene of an apparent explosion and chemical Reaction at Royal Adhesives & Sealants in South Bend, Indiana.
Wipro Limited has opened an Automotive Engineering Center in Detroit. The center aims to drive innovation in connected vehicle concepts.
Chassix plans to build a new plant in Ostrava, Czech Republic. It’s their first casting factory and third plant in the EU. The plant will produce aluminum chassis and powertrain parts for passenger cars.
Magna looks to open new car plant in Slovenia to build new Jaguar I-Pace crossover.
Lincoln Motor Co. will start building cars in China by late 2019. It is looking to better compete with its German and U.S. rivals in the world’s biggest auto market.
Rheinmetall Group has booked its first order for a special application of coolant valves. Placed by a major American automaker, the order has a lifetime value of over $25 million.
Turkey’s automotive production surged to a record high in the first two months of the year, propelled by strong car exports.
Speaking in Detroit on Wednesday, President Trump said he plans to do what he can to roll back “unnecessary and restrictive” regulations for the auto industry. He also talked about his efforts to renegotiate NAFTA.
The EU has committed to stringent carbon emissions targets in the next decade that may mark the end of combustion-powered vehicles. This is in stark contrast to the regulatory directions the US government is taking.
Major updates to automotive quality standards will force changes and paperwork. IATF 16949 requires automotive orgs to get recertified.
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