Tag: regional sourcing and manufacturing

BYD plans to build heavy-duty e-truck in Europe to ‘become a European company’

Chinese EV-maker BYD is planning to deliver its first heavy-duty truck for Europe by the second quarter of next year, with a long-term plan to manufacture trucks in the continent to embed itself into the market.

Megan Kelly

GM creates $4.5 bn parts facility to protect against risks including extreme weather

GM has signed an agreement with Procura Auto Parts to establish a $4.5 billion facility aimed at improving resilience against supply chain risks and weather disruptions by sourcing rare and critical parts.

Megan Kelly

Toyota buys 25% in LG Chem cathode plant to comply with US regulations

Toyota Tsusho, which manages raw material procurement for the Toyota Group, has bought a 25% stake in the LG Chem cathode materials plant in Gumi, South Korea.

Ford’s $5 billion EV platform and factory investment

Ford launches Universal EV Platform and “assembly tree” production process, backed by $5 billion in US investment and a strong emphasis on supply chain localisation and in-plant logistics efficiency.

Charlie Blackie-Kelly

Emily Uwemedimo

Renault fully acquires Chennai plant from partner Nissan

Renault’s full acquisition of the Chennai plant reinforces the company’s international growth strategy – expanding local production, strengthening supplier ties and boosting exports from India.

Charlie Blackie-Kelly

Emily Uwemedimo

GM and Hyundai to launch five co-developed models in the Americas by 2028 under strategic partnership

GM and Hyundai are advancing their production partnership with five co-developed models, leveraging shared manufacturing platforms and integrated supply chain planning to serve key markets in North and South America.

Charlie Blackie-Kelly

Emily Uwemedimo

UK’s £3,750 EV discount tied to supply chain emissions and battery production

The UK’s new £3,750 EV grant goes beyond tailpipe emissions, rewarding vehicles with low-carbon manufacturing and battery production. But with supply chain criteria still unclear, OEMs and logistics providers face major uncertainty ahead of key registration months.

Charlie Blackie-Kelly

Anushka Dixit

Jaguar Land Rover appoints Tata Motors CFO PB Balaji as new CEO

Balaji will become the first Indian CEO of Jaguar Land Rover, succeeding Adrian Mardell in November 2025.

Automotive logistics and supply chains in 2025: Tariff turmoil, investment uncertainty and further cost pressures

The automotive industry is reeling from the US’s hugely disruptive reset of the world economic order, and this will have profound ramifications for logistics providers around the world.

Daniel Harrison

Global supply chain adapts to booming sales of Chinese vehicles

China's auto exports gain momentum despite substantial headwinds, demonstrating outstanding flexibility in adapting to issues such as tariffs and demand fluctuations in target markets.

ASEAN light vehicle sales grow, strong export momentum

The ASEAN light vehicle production market outlook is growing, with revisions up by roughly 22,000 units this year and strong export momentum.

Megan Kelly

Nissan to close Mexico plant in logistics and production realignment

Vehicle production from the plant in Cuernavaca, close to Mexico City, will be consolidated at Aguascalientes by March 2026 as Nissan targets leaner, more efficient operations and logistics globally.

Charlie Blackie-Kelly

Emily Uwemedimo

Mitsubishi keeps an eye on capacity in Vietnam

Mitsubishi is navigating rising demand in Vietnam by balancing CKD assembly and regional imports, while investing in parts distribution and evaluating transport capacity amid high logistics costs.

UK Government set to invest £2.5 billion in auto industry over next decade

Part of the wider Industrial Strategy, the programme hopes to boost advanced manufacturing capabilities and reinforce electrification efforts.

Charlie Blackie-Kelly

Skoda begins Kushaq sales in Vietnam using CKD imports

The CKD kits will be shipped from the automaker's Indian plant, with some parts coming from Europe.

EU car production to rise to 16m annually if EV incentives remain

Maintaining zero-emission targets could boost car and battery production, but delays or policy rollbacks risk economic and employment losses.

Charlie Blackie-Kelly

Rare earth magnet shortage disrupts global auto production

China produces almost 70% of rare earth magnets but exports are now tied up in lengthy license applications, prompting supply and shortage concerns.

Toyota is considering moving production of the GR Corolla from Japan to the UK

While the news is not yet official, sources say that Toyota will add an additional production line to its Burnaston plant to try and meet demand for the sports model. If the move goes ahead, production is expected to begin mid-2026.

In the face of global trade wars and tempered demand, has the battery supply chain in North America lost its charge?

The Trump administration has reversed legislation designed to bolster localised electric vehicle manufacturing and incentivise sales in the US but native and foreign carmakers continue to invest to strengthen infrastructure and supply chain.

Alliance members Mitsubishi and Nissan consider joint US production plant to mitigate tariff hikes

Mitsubishi has revealed that is has been talking to fellow Alliance member Nissan about joint production opportunities in the US. Details have not been released yet, but it may involve using already existing Nissan plants.

Nissan Motor is scrapping plans to build a $1.1bn EV battery plant in Kyushu, Japan

Despite only announcing the new plant in January, Nissan has cancelled its proposed lithium iron phosphate (LFP) battery plant, planned to be built in Kitakyushi, Japan. The plant would have created around 500 internal jobs and helped the company reinforce its domestic EV production.

Automotive Logistics & Supply Chain ASEAN to debut in Singapore with senior OEMs, suppliers and tech leaders shaping regional strategy

ALSC ASEAN debuts in Singapore on 28 Oct, uniting OEMs and suppliers to shape the region’s supply chain and EV strategy.

Nissan is to cease Wuhan production by March 2026 amid fierce competition and financial strain in China

Nissan Motor Co. will shutter its Wuhan plant by March 2026, grappling with low output, fierce competition from Chinese EV makers, and a projected ¥750 billion ($5bn) loss. This retreat underscores the challenges facing foreign automakers in China.

Audi announces production of its second-generation Q7 SUV has begun at the DRB-Hicom manufacturing plant in Malaysia

In a move to strengthen regional supply chain resilience, Audi has begun local production of its Q7 SUV at Malaysia’s DRB-Hicom facility, the brand’s first fully localised assembly project in South-East Asia. The current output for the Pekan plant is at three vehicles per day, but with the expectation of this rising to 5,000 units per annum.

US automotive import tariffs hit prices and aggravate consumer uncertainty, says National Automobile Dealers Association

The combined impact of vehicle and parts import tariffs could cut production and sales forecasts in the US this year, according to figures from the National Automobile Dealers Association, with consumer spending and manufacturing investment revised.

The race before the border closes, as auto logistics braces for a 25% tariff reckoning

[Updated 1 April] Automakers and logistics providers are scrambling to move vehicles before the US imposes a 25% tariff on automotive imports. With USMCA exemptions narrowing and global supply chains under pressure, manufacturers face a costly and complex reckoning.

Toyota Motor Manufacturing UK is getting ready to launch its first European recycling factory in the UK

Toyota is launching is European recycling initiative in the UK with the launch of its Toyota Circular Factory at the Burnaston plant in Q3 this year, which will supply 120,000 recycled parts to the aftermarket.

Hyundai Motor commits $21 billion to US vehicle manufacturing, supply chain and logistics

Hyundai has announced an investment in US vehicle production, supply chain and logistics of $21 billion and in the same week has officially opened its metaplant in Georgia at which it now plans to make 500,000 electric vehicles a year.

Audi and BMW call for tariff-free trade in North America as Trump tariffs take their toll

German carmakers are holding their breath for the next Trump tariff announcement to see if USMCA local content rules will necessitate higher prices and production adjustments in North America.

Economic headwinds shake CEE automotive logistics as cost pressures, nearshoring, and geopolitical shifts reshape supply chains

The economic crosswinds sweeping across the continent threaten to stir into a big storm for the automotive industry in Central and Eastern Europe (CEE). Automotive Logistics explores how, in the face of uncertainty, logistics providers are streamlining their operations.

Dieter Braun on how Audi is turning supply chain motion into progress

In the first part of a special interview series, read how Audi is confronting challenges in the automotive market with an emphasis on a holistic supply chain function that makes a positive contribution to the carmaker’s production and products. Head of supply chain Dieter Braun reveals how logistics can add value across the order-to-delivery process.

Donald Trump is imposing 25% tariffs on steel and aluminium from Canada and Mexico, and could include auto parts

Donald Trump is holding the threat of 25% tariffs over auto parts and metals imports from Canada and Mexico, which could disrupt the North American automotive supply chain. The US president added that he will add new wider tariffs on finished vehicles, to be announced on April 2.

Why regionalisation, digital innovation and sustainability are the key to BMW San Luis Potosí’s resilient supply chain

BMW’s San Luis Potosí embodies a forward-looking approach to supply chain resilience, leveraging regional suppliers, smart supply chains and sustainability. Automotive Logistics explores how the plant tackles logistical challenges to set industry benchmarks.

Trump’s tariff pose on imports from Canada and Mexico tests resiliency of supply chain planners

Even with a month’s grace period, the threat of US tariffs on imports from Canada and Mexico made by Donald Trump over the weekend is creating supply chain uncertainty across the North American automotive industry. Carmakers are calling for attention to USMCA rules and warning of the impact on jobs, investment and consumers.

Expert perspectives on nearshoring: Top 10 Red Sofa interviews on supply chain strategy

Updated July 2 2025 – The strategy of nearshoring is reshaping supply chains, bringing immense opportunities and challenges to the forefront. We sat down on the Red Sofa with experts leading the trend across the automotive supply chain.

What day one under the Trump administration signals for the North American automotive supply chain

Donald Trump, who was sworn in as president of the US yesterday, said that his administration is planning to impose 25% tariffs on imports from Mexico and Canada from 1 February, threatening the North American automotive supply chain.

Flooding caused by climate change is set to be the biggest threat to the automotive supply chain in 2025

Climate change, and particularly flooding, will be the biggest threat to the supply chain in 2025, according to analysis by Everstream Analytics.

Volkswagen is investing in digital architecture for competitive and localised battery EV production in China

Volkswagen is focusing on a strong localisation drive in China and the development of a digital architecture for faster EV development and production as the market competes aggressively on price.

Volkswagen to cut production in Germany and reduce staff across factories, with Golf production moved to Mexico

Following some intense negotiations through December, Volkswagen reached an agreement with its Works Council and the IG Metall union just before the Christmas break that will see it cut 35,000 jobs by 2030 and reduce production capacity by 734,000 units

Kjell Gruner takes over as head of VW Group of America; Henning Habicht to lead operations at Chattanooga

Kjell Gruner is now president and CEO of Volkswagen Group of America (VWGoA), while Henning Habicht has been promoted to lead operations at the carmaker’s Chattanooga plant.

Seismic shifts in the global trade of electric vehicles: 2024 in review

The car industry is going through a volatile adaptation as it seeks to decarbonise mobility and clean up the logistics supporting production. This year it has also been dealing with trade and labour disruption but the focus is adamantly on a more resilient supply chain and the adoption of digital technology.

German Association of the Automotive Industry has published a new auditing standard for logistics – VDA 6.8 Process Audit Supply Chain

The VDA’s Logistics Committee chairman, Simon Motter, who is head of Volkswagen Group Logistics, said the new VDA auditing standard addresses the importance of smooth supply chain processes for the entire automotive industry

GM’s strategy to tackle EV logistics challenges: Digitalisation, nearshoring, and improving supplier relations

Strengthening supplier relationships, nearshoring strategies and digitalisation are enabling GM to enhance supply chain resilience across North America. From securing critical EV components to optimising cross-border logistics, the carmaker is fostering innovation and operational efficiency amid growing challenges.

Mexico will retaliate against Trump’s tariffs, says international trade expert

Mexico and Canada have warned the US against a trade war following president-elect Donald Trump’s decision to impose a 25% tariff on all goods being imported into the country from Mexico and Canada.

Stellantis invests in €4.1 billion Spanish gigafactory with CATL to boost localised battery supply chain and reduce cost

Stellantis has partnered with Chinese battery manufacturer CATL to invest up to €4.1 billion ($4.3 bn) for a large-scale lithium iron phosphate (LFP) battery plant in Spain.

Jeffrey Morrison discusses GM’s supply chain shift toward electrification, cost optimisation and evolving supplier partnerships

In a Red Sofa interview at the Automotive Logistics and Supply Chain Global conference, GM’s Jeffrey Morrison outlines the company’s strategic shift towards electrification, emphasising the importance of cost optimisation and strengthened partnerships with suppliers to foster innovation and sustainability within the automotive supply chain.

Red Sofa Interview: VW Truck & Bus Mexico’s plans to increase localisation

Halley Vieira, plant manager in Production and Logistics, VW Truck & Bus Mexico discusses the decision to localise in Mexico rather than import parts from Brazil, and how synergies with VW Group and Traton Group are playing an increasingly important role in the plant’s logistics.

Red Sofa Interview: Audi Mexico’s agile supply chain strategies

Francisco Bravo discusses Audi Mexico’s journey towards supply chain excellence, addressing challenges, embracing technology and aligning with the brand’s vision for a sustainable future.

Red Sofa Interview: How Bocar is championing Mexican localisation

Leonardo Martins, global logistics director at Bocar Group, joins the Red Sofa at Automotive Logistics & Supply Chain Mexico to share how Bocar is championing localisation in Mexico.

Knowing where to be lean and where to be robust in GM’s supply chain

GM has pursued multiple strategies to increase resilience, from strategic inventory buffers to increasing localisation in North America, according to purchasing chief Jeff Morrison.

BMW powers Spartanburg with ‘local for local’ battery supply chain

The carmaker’s battery assembly plant in South Carolina will be key to reducing logistics costs and risks in EV production.

The end-to-end in sight at Volvo Cars

Volvo Cars is on a mission to make its supply chain as sustainable as its electric vehicles, so it has combined procurement and supply chain logistics for greater clarity on the flow of parts, materials and vehicles. Kerstin Enochsson, head of procurement and supply chain, explains more

Into Africa: China’s ambitions for a transcontinental logistics network

Much of the focus on China’s Belt and Road programme has been on trade routes between Europe and Asia, but Chinese organisations are also investing in African infrastructure

South Korea part 2: Widening the lens

South Korea special reports: Miracles and vehicles on the Han