All articles tagged with #auto manufacturing
Facing volatile U.S. tariff policy, Canada agreed to cut Chinese EV tariffs from 100% to 6.1% (affecting up to 50,000 vehicles a year) and aims for many models to cost under CAD 35,000 by 2030, a move that could undercut North American automakers like Ford and reshape Canada’s EV strategy ahead of its 2035 phase-out of gas-powered cars.
China blames the Netherlands for causing chaos in the global semiconductor supply chain after the Dutch government seized control of Chinese-owned chipmaker Nexperia, citing national security concerns, which has led to disruptions in auto manufacturing and ongoing international negotiations.
Marelli, a major auto parts supplier, filed for bankruptcy citing tariffs imposed during the Trump administration as a key factor, highlighting the impact of trade policies on the global auto industry and its suppliers, with automakers like Nissan and Stellantis also under financial strain.
General Motors plans to invest $4 billion to move production from Mexico to the U.S., including retooling plants in Michigan, Kansas, and Tennessee, driven by demand for SUVs and efforts to counteract tariffs, supporting American jobs and manufacturing.
Honda will implement an 11% pay raise for non-exempt production associates at its U.S. facilities, including the Indiana Auto Plant in Greensburg, starting from January 8, 2024. The wage increase is a response to staying competitive in the auto manufacturing market and comes after the United Auto Workers' historic contracts with Honda's unionized Detroit-based competitors.
More Americans are being priced out of the new car market due to rising interest rates and a lack of affordable options. Spending on new cars by the lowest 20% of earners dropped to its lowest level in 11 years, while spending on new cars by the top 20% reached its highest level on record. The average price of a new car in the United States hit $48,008 in March, up 30% from March 2020. Automakers are selling fewer new vehicles in the United States than they did before the pandemic, but their 2022 revenue was still $15 billion higher than in 2019, because the mix they are selling is more expensive.