Mexican Media Brands
Report: U.S. Auto Suppliers Remain Pessimistic
Worries about trade tariffs and shrinking car sales are keeping about 70% of U.S. auto suppliers in a pessimistic mood about the industry’s future over the next 12 months.
#economics
Share
Worries about trade tariffs and shrinking car sales are keeping about 70% of U.S. auto suppliers in a pessimistic mood about the industry’s future over the next 12 months, the Original Equipment Suppliers Assn. reports.
OESA’s Automotive Supplier Barometer Index, which fell to a 10-year low of 35 in the first quarter, remained at that level in April-June. A score of 50 is neutral.
The rating has been slowly sliding since the beginning of last year, when optimism about U.S. tax reform pushed the index to 57. The measure fell 10 points to 43 in the third quarter last year and 39 in the fourth period.
About 25% of respondents to the current survey say their outlook hasn’t changed through the first half of the year. A slightly greater share describe themselves as “somewhat” more pessimistic. But the proportion who report becoming “significantly” more pessimistic has declined by the same amount.
Mike Jackson, OESA’s executive director of strategy and research, notes that top suppliers are showing greater focus and more flexibility in techniques—including leveraging external partners—to advance their efforts to innovate.
RELATED CONTENT
-
On Lincoln-Shinola, Euro EV Sales, Engineered Carbon, and more
On a Lincoln-Shinola concept, Euro EV sales, engineered carbon for fuel cells, a thermal sensor for ADAS, battery analytics, and measuring vehicle performance in use with big data
-
Report Forecasts Huge Economic Upside for Self-Driving EVs
Widespread adoption of autonomous electric vehicles could provide $800 billion in annual social and economic benefits in the U.S. by 2050, according to a new report.
-
GM, Ford Evaluate Possible Economic Slump
General Motors and Ford say they have bolstered their cash reserves in case the trade war between the U.S. and China triggers a global recession.