TPT November 2013

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Global Marketplace
November 2013 85
auto parts suppliers have been preparing themselves. Those
who have not invested significantly in plant and personnel
know they are in danger of losing business to a competitor,
Mr DeKoker said. Fortunately, the automakers well
understand the importance of their suppliers to the common
enterprise. General Motors has put 200 quality engineers in
the field to help mitigate stress on the supply chain. Ford,
too, has some 200 engineers working to prevent bottlenecks
and quality issues. Bill Krueger, who oversees purchasing
and manufacturing for Nissan Americas, summed up for the
producers: “We need suppliers to cooperate to maximise
production opportunity.”
› Mr Tetreault, of Ford, said he meets twice a week with
suppliers and purchasing executives about any strains
in the system. If there is a shortage of radios, or some other
component, sometimes Ford will adjust the mix of vehicles
and equipment packages. “It’s something we do really well,”
Mr Tetreault told the Free Press. “We are all world-class
scramblers.” Birgit Behrendt, who heads Ford purchasing for
North and South America, said the automaker is also rolling
out the next phase of a programme aimed at bringing 104
select suppliers into vehicle development sooner.
Elsewhere in automotive . . .
› Honda Motor Co, which already had invested nearly
$2.7bn in its North American operations over the previous
three years, on 8 August said that it will spend $215mn more
in Ohio. About $180mn will go to expand work on aluminium
die casting and parts production at the company’s engine
plant in Anna. In addition to a training centre for Anna, Honda
plans a $35mn training centre for workers and engineers at its
Marysville auto assembly plant. Honda says that the building
will also house a heritage centre to document the Japanese
company’s history in North America.
› Despite high hopes for electric cars, results so far have
fallen well short of the million of them President Barack
Obama predicted would be on American roads by the middle
of this decade. According to the auto research site Edmunds.
com, only about 36,000 battery-powered vehicles were sold
in the US this year through July, many of them at a heavy
discount from the sticker price. In marked contrast, automakers
sold some 298,000 hybrids over the same period, and the
cars which run alternately on gasoline and battery power
may confidently be said to have entered the mainstream of
the American market. With more than 40 conventional hybrids
available, these models account for about 3 per cent of
overall industry sales, and market leader Toyota Prius is one
of the top ten best-selling passenger cars. Reasons for the
popularity of hybrids seem evident. They cost less than most
electric models and, unlike battery-powered cars, they impose
no limitations on driving range. Moreover hybrid technology,
having been tested over time in real-world driving conditions,
is no longer dauntingly mysterious to American car buyers.
Dorothy Fabian, Features Editor (USA)