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 Global EV Sales, Lean and the Supply Chain & Dealing With Snow
The distribution of EVs and potential implications, why lean still matters even with supply chain issues, where there are the most industrial robots, a potential coming shortage that isn’t a microprocessor, mapping tech and obscured signs, and a look at the future
-
Inside Ford
On this edition of “Autoline After Hours” Joann Muller, Detroit bureau chief for Forbes, provides insights into what she’s learned about Ford, insights that are amplified on the show by our other panelists, Stephanie Brinley, principal analyst at IHS Markit who specializes in the auto industry, and Todd Lassa, Detroit Bureau Chief for Automobile.
-
Porsche Doubles EV Target for 2025
Porsche AG says about half the vehicles it sells by 2025 will be equipped with hybrid or all-electric powertrains, twice the ratio it forecast four weeks ago.