Jon Jacobson (left) and Kevin Piotrowski (right) seal the official launch of AIAG as Catena-X’s North American hub with a handshakeSource: Automotive Logistics
AIAG named North American hub for Catena-X, cementing data alliance across the region
AIAG has been named the official North American hub for Catena-X, the open, standardised data-sharing network aiming to transform global automotive supply chains. The move formalises a step in connecting OEMs, suppliers and logistics partners across the US, Canada and Mexico.
By 2030, the automotive industry will need to trace over one
billion data points worldwide to meet rapidly evolving
regulations and stakeholder expectations, according to Dr Bing Xu, senior director
of the Catena-X North America Hub at the Automotive
Industry Action
Group (AIAG). In a move to help the industry
manage this scale of complexity, AIAG
has been named the official North American hub for Catena-X, a
digital infrastructure built to enable standardised, secure and open data
collaboration across the automotive value chain.
Catena-X offers a departure from the industry’s traditional,
fragmented approaches to data sharing. Rather than relying on legacy one-to-one
exchanges or siloed systems, it enables real-time, peer-to-peer data
collaboration across entire supply networks, regardless of platform or IT
provider.
“As an industry, we know data
drives us, right?” said Piotrowski. “All of us have a lot of data in our
enterprises and it especially gets large when you go outside of your
enterprise… The better companies manage that data and drive decisions farther
down in their organisation, those companies will have a competitive advantage.”
Key industry use cases
The Catena-X use case library already spans topics such as:
Auditable product carbon footprint (PCF)
tracking across suppliers.
End-to-end
traceability
of parts and materials for recalls and compliance.
Real-time collaborative quality
management to speed up defect resolution.
A “battery passport”
that records an electric vehicle battery’s full lifecycle data for regulatory
and sustainability purposes.
Explaining the need for such
capabilities, Dr Xu said during a panel session at the conference:
“Unfortunately all the existing systems… cannot work for today's situation.”
He added that while previous systems like IMDS were
effective for early compliance efforts, they have now become narrow and siloed:
“When we talk about [things like] tariffs, that system won’t work... Everybody
wants to develop their own one... So, that’s why we need a system that can
solve the problem, get rid of the silo and make sure the secure data
transaction is working.”
Ford-Flex pilot
One of the most advanced pilots in North America is being
conducted by Ford Motor Company in partnership with Flex
Automotive, a tier-one supplier. The pilot focuses on PCF tracking using verifiable supplier data
exchanged via Catena-X.
The value became clear when
Flex conducted a comparison of generic emissions data versus primary data from
its supply chain.
“When we looked at one of our
specific Ford parts and we actually brought in primary data through our own
supply chain, the PCF dropped by 84%,” said Nicole Stevenson,
Flex’s vice president of business strategy and marketing.
“It could have just as easily gone the other way… You might think you're doing
okay using average data, but then find out when you get the real data that you're
not meeting a spec.”
At Automotive Logistics & Supply Chain Digital Strategies, panelists from AIAG, Catena-X, Ford, and Flex explored the rollout of an open data ecosystem for the North American auto industrySource: Automotive Logistics
The emissions estimate dropped
from approximately 7kg of CO2 to just 1kg,
once primary data from a sub-tier supplier – connected via Siemens software – was
shared using the Catena-X architecture.
Encouraged by these results, Ford and Flex expanded the
pilot. In the next phase, data flowed from Ford to Flex (using T-Systems), and
then down to additional suppliers, before being aggregated and sent back. Ford used
SAP, Flex used T-Systems,
and their suppliers used Siemens – but
all three systems were able to interoperate due to Catena-X’s standard
connector and semantic data models.
As Stevenson explained: “We’re looking at about 46%
reduction in the values… and the biggest thing that we're doing, we're able to
bring on another tier… it's exponential how much better the data accuracy gets
when you're bringing in more of the supply chain”.
The process is also more
scalable. Instead of building bespoke connections for every customer, Flex and
its suppliers can use one standardised interface across OEMs.
“You’re not having something
different for each one of your customers,” Stevenson said. “Once you're set up,
you can go with all of your customers when they're engaged”.
Just as importantly, data
sovereignty is preserved. “Knowing that our data is safe, within our control,
is a beautiful aspect of this,” Stevenson added.
Global alignment
and local leadership
Catena-X was launched in Germany in 2021, backed by
the Federal Ministry for Economic Affairs and the German Association of the
Automotive Industry. It now comprises over 190 member companies,
including OEMs, Tier-N suppliers and IT providers.
With AIAG as the official North American hub,
companies in the US, Canada and Mexico can now participate in – and influence –
this global ecosystem.
“With AIAG as the North American hub, we’re
enabling OEMs and suppliers of all sizes to achieve unprecedented transparency
and visibility, while retaining full control over their data,” Piotrowski said.
Oliver Ganser, chairman of the Catena-X board,
emphasised the significance of the regional expansion: “We’re excited to expand and strengthen our collaborative approach
to tackle some of our industry’s toughest challenges… reducing costs and
driving sustainable practices across the value chain.”
Jacobson, Catena-X board member and IBM executive,
added: “AIAG is the perfect match for North America – bringing together the
collaborative spirit, expertise and trusted relationships needed to make
Catena-X work for every company, large or small, across the automotive value
chain.”
The announcement was marked by a presentation
followed by a ceremonial handshake between AIAG and
Catena-X leadership at the Automotive Logistics & Supply Chain Digital
Strategies North America conference.
“We’re just starting,” said Piotrowski. “We were under an
MOU agreement. We’re now the second hub under formal contract. Expect us to do
a lot more, with a lot more of you and a lot more of your solution providers as
well.”
Watch the moment AIAG and Catena-X made it official