After JLR, Ford has also announced that all its vehicles for sale in Europe will be pure-electric by 2030. It is investing $1 billion in its Cologne (Köln) plant to make that a reality. This move will be supported by the sharing of the VW Group’s MEB electric vehicle platform.
According to speakers at the Automotive Logistics and Supply Chain North America Live conference there was a silver lining to the disruption inflicted on the automotive industry by the coronavirus pandemic: it allowed companies to look at things afresh and identify where existing problems in the outbound supply chain lay hidden by day-to-day activity.
The continuing need for accurate tracking of vehicles in the outbound supply chain became more of a critical issue last year as assembly plants ramped up production after the Covid shutdowns. Demand for new cars remained strong throughout the crisis, which shrank available inventory 32%, from 3.8m to 2.6m when plants were shut or operating on restricted schedules and according to new safety protocols.
This year’s Automotive Logistics and Supply Chain North America Live conference revealed how a strong rebound in North American vehicle sales has taken the supply chain by surprise and exacerbated the misalignment in inbound supply and capacity caused by the Covid-19 shutdowns.
The impact of the Covid-19 pandemic on the Russian car market has pushed up demand for lower-priced vehicles, depleting inventory and leading to shortages in delivery capacity on road and rail, according to Dennis Gliznoutsa, commercial director of Gefco Russia.
The renegotiated rules on free trade in North America, known as USMCA, have been in effect six months but are coming under stricter enforcement. Trade experts from Toyota and Canada’s automotive supplier association point to risks around compliance and a lack of clarity in some rules, especially around ’alternative staging regimes’ on localisation – with the risk that some suppliers could lose significant business.
Kicking off the on-demand content for Automotive Logistics and Supply Chain North America Live, our hosts set out the trends impacting the industry today and how they will reshape processes, service and partnerships.
Investing in regional battery supply will be critical for OEMs in North America to compete on electric vehicles, but can battery cell capacity keep up? Analyst Daniel Harrison details the evolving battery production footprint in the region.
OEMs in Mexico are facing logistics bottlenecks and expect more to come, which is why Nissan and providers like Jack Cooper are strengthening processes and digital tools in logistics to improve resiliency and flexibility.
In a special think tank workshop, leaders from key players in service parts and aftersales logistics discuss how the industry should respond to the current disruptions and get ready for major changes ahead.
Executives from tier one supplier Magna, 3PL DSV and automation specialist Seegrid outline how automotive manufacturers are accelerating the digitalisation of the supply chain in the wake of the Covid crisis.
In this virtual event, leaders from Volkswagen and Kuehne+Nagel discussed how production and supply chains can be made greener by using renewable energy in plants, switching deep-sea shipping vessels to LNG, reducing air freight and more.
With new OEMs like Lucid about to launch electric vehicle production, supply chain experts from OEMs, suppliers, tech players and logistics companies discuss the investment, data and technology opportunities – and difficulties – that come with starting up new EV and battery supply chains.
With the Ford Mustang Mach-E, the first EV has started production in Mexico. Alex Katsouris from freight forwarder Europartners examines what needs to happen in the supply chain to make the country a powerhouse for EV production.