Automotive Supply Chain Risk Digest #314
February 10 - 16, 2023 by Elm Analytics
Change In Management
This week, Toyota announced Yoshihiro Nakata and Matt Harrison as the new CEO and COO for Toyota Motor Europe, respectively.
Ahead of re-entering the European market, GM has named Ludovic Basset as its new head of EU Affairs. The automaker left the region in 2017 with the sale of Opel/Vauxhall to PSA Group.
Human Capital
Ford is cutting almost half of its 6.2k European engineering staff. The company cites the simplification of EV powertrains requiring fewer people.
Industry Directions
A new study from the Insurance Institute for Highway Safety found that around 50% of customers who had to have crash sensors and cameras fixed after an accident had problems with those features after the repair. IIHS believes the problem may relate to mechanics needing help with the calibration process, which can require specific training and special equipment.
Design Week: Could cars of the future be made from eggshells?
Litigation
Tesla workers in New York have filed a complaint with the US. National Labor Relations Board alleging they were fired for trying to form a union. Many of the 30+ workers fired were hourly employees working on Tesla's Autopilot software.
Opening
South Korean aluminum parts maker Samkee Corp is planning a new $128M plant in Tuskegee, Alabama. The plant will create 170 jobs and begin production in 2024.
Ford has announced plans for a $3.5B BlueOval Battery Park in Marshall, Michigan. The 2.5M sq ft plant will build LFP batteries and start production in 2026.
BYD will build a 40Gwh plant to manufacture its safer blade batteries in Zhengzhou, China.
Texas Instruments is investing $11B into a new 300mm semiconductor wafer plant in Lehi, Utah. The new plant will be next to the company's existing plant in Lehi and is planned to start production as early as 2026.
Infineon confirmed it would open a new semiconductor fabrication facility in Dresden, Germany. The plant will be its most significant single investment, with plans to supply Stellantis when it launches in 2026.
Magna will build a new EV battery casing plant in Brampton, Ontario, to feed the Ford F-150 Lightning program. It'll expand five additional facilities in Ontario: Guelph, Belleville, Newmarket, Windsor, and Penetanguishene.
Production Decrease
Tesla will reportedly slow production at its plant in Shanghai, China, at the end of February. The facility will retool for a revamped Model 3 codenamed "Highland." The new model is expected to be optimized for manufacturing efficiency and production.
Recalls
NHTSA has issued a recall for Tesla's "Full self-driving" feature. The notice warns of issues where the vehicle can proceed unsafely at intersections. Tesla will send an over-the-air update to address the issue.
Regulation
The European Parliament this week formally approved a law banning the sale of new petrol and diesel cars in the EU from 2035.
The US Federal Highway Administration and Joint Office of Energy and Transportation announced a set of EV charging standards.
Risk Analytics
Connected car data aggregators, Otonomo and Wejo, are trying to stay afloat. While insurance and rental car companies want the information, it's hard to collect. Automakers don't have a standard format and want to build their own subscription services using it.
Shutdown
Ford has halted production and shipments of the F-150 Lightning at its plant in Dearborn, Michigan, due to a battery issue where a vehicle caught fire in a holding lot. Ford engineers have found the root cause of the problem, but it could take "a few weeks" to fix.
The company also idled its Louisville, Kentucky, assembly plant this week due to a software issue with the Escape's instrument cluster. Ford plans to resume production on February 20.
GM's Corvette assembly plant in Bowling Green, Kentucky, is shut down until February 20. A non-semiconductor parts shortage stopped production.