SUPPLIER EYE
- Magazine Article
- 20AUTP11_05
- English
Perception is not always reality, but I have no doubt that the number of challenges the automotive industry faces are countless. Many industry players are hoping for the merry-go-round to slow - but that's wishful thinking. Between COVID-19, a new administration in Washington, the drumbeat from emissions legislation, shifting consumer tastes and endless trade disputes, it is difficult to effectively and cohesively respond to these challenges. Essentially, the new reality means always being in a reactive mode.
It wasn't always this way. The challenges of the past decade were different - possibly easier to absorb and filter. Rebounding from the GM and Chrysler bankruptcies, the VW diesel-emission scandal, the loss of several production plants and a surging mainland China market, the industry was in the midst of a shifting geographic dynamic. For suppliers, a major focus was on how much risk to assume as industry volumes grew, and where to add more component production capacity. While these were tough, risk-laden decisions, we'd been down this road before.