The simplification of the automobile that’s set to take place with the transition to electric drivetrains is a troubling trend for the industry. As Bertel Schmitt has already explored, switching to electric drive could see component counts cut by as much as 90 percent, meaning the suppliers who build most of the components in modern cars are staring down a steep drop in their business. As Automotive News [sub] reports, even electric motors, which were once thought of as a growth area for suppliers looking to get in on the EV shift, are being largely built by OEMs, freezing suppliers out of potential growth. Toyota, Nissan and GM supply their own electric motors, leaving suppliers like Remy International behind in the dust. So how can suppliers stay competitive as EVs become more popular? Counter-intuitively, the answer may be gas-powered range extenders.
Category: Suppliers
You thought the strikes that affected Honda and Toyota in China are over, and both are happily churning out cars again? That makes two of us. But we are mistaken. Read More >

It’s classic tale from the convoluted and mysterious world of the global supply chain. Crain’s Business [via Automotive News [sub]] explains how GM was forced to recall heated windshield washers not once, but twice. And we take a look at why GM took the extraordinary measure of blaming customers and GM technicians for “misdiagnosing” the problem, a strategy that makes for an interesting counterpoint to the recent Toyota recall hoopla. After all, like Toyota’s pedal problems, GM’s heated windshield washer woes are rooted in a complicated relationship with one of its suppliers… and one of its regulators.
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Worried about the high MSRPs on most of the electric vehicles scheduled for launch over the next year? Don’t forget to include the cost of buying and installing a home charging station. Nissan reckons the charger for its Leaf will cost about $2,200, including a home electrical inspection [er, that’s a medical marijuana grow…] and installation. Oh, and it won’t be Nissan coming into your home: Aerovironment, a firm otherwise best known for its Unmanned Aerial Vehicles, has the contract to supply and install the Leaf’s charger. Coulomb Technologies supplies the home charger for Ford’s first EV, the Transit Connect EV, and according to Automotive News [sub], they’re partnering with Ford to give chargers away to the first 2,000 buyers of the electric-drive delivery van. But, as usual with good news in the EV sector, the charger giveaway is actually being funded by tax dollars…
Automotive News [sub] reports that GM has made a bold new request of its suppliers: to assume responsibility for 50 percent of all warranty costs. The move comes as GM overhauls its post-bankruptcy supplier relations, which includes previously-announced measures to share cost-savings between GM and its suppliers. The obvious question when that plan was announced was: how do you stop suppliers from cutting all the quality out of GM components? The answer to which is apparently “by making suppliers share warranty costs.” But the solution is by no means a done deal…
Ford is in-sourcing important parts of their hybrid-electric vehicles, and they are putting $135m behind the effort to bring the parts home and in-house. Currently, core parts are made abroad. Moving the making home to Michigan will create a whopping 170 jobs in Rawsonville and Van Dyke. But it’s a start. “I am proud of the tremendous success of the UAW and Ford in working together to keep good manufacturing jobs in the U.S.,” said Bob King, UAW vice president, National Ford Department. Read More >
GM’s OnStar division is preparing for a big push into new info-tainment and connectivity services, and it’s launching the effort at Google’s I/O conference starting tomorrow. First up is a new Google-maps-based navigation feature for Android phones running the Chevy Volt mobile app, featured in the video above [presser here]. Though this new navigation system won’t be available at launch, but will emerge in a 2.0 version of the Volt mobile app, it hints at a new direction for OnStar, which traditionally markets itself as a safety feature. A senior (anonymous, sorry) source at GM took a moment to explain where this is all heading….
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Congressional lawmakers are mad at Toyota. What has Toyota done now? Their sin this time: They may have harbored a secret “attack plan against congressional testimony.” This, says the Washington Post, has “drawn the ire of the House Energy and Commerce Committee.” Read More >
A couple of weeks ago, I wrote about how the world largest “democracy” is being built up to a global small car hub. It seems the car world has even bigger plans for the Asian tiger cub. Business Week reports that Renault is planning to double the number of parts it gets from India. Sudhir Rao, COO of Renault’s India unit says that Renault will buy about €250m ($317m) worth of parts from the Indian subsidiary. Renault isn’t the only company that is looking to India for cost savings. Naturally, where Renault goes, Nissan follows. But Fiat and Ford are also interesting in using Indian parts. Read More >
Technology Review reports on Levant Power’s “GenShock” technology, which generates electricity by converting the kinetic energy of suspension travel into electricity. And electricity generation isn’t the whole story: the entire suspension is an actively-controlled, dynamic system that improves performance as well as efficiency in a turnkey package.
Levant has developed a modified piston head that includes parts that spin as it moves through the oil, turning a small generator housed within the shock absorber. To improve vehicle handling, the power controller uses information from accelerometers and other sensors to change the resistance from the generators, which stiffens or softens the suspension. For example, if the sensors detect the car starting a turn, the power controller can increase the resistance from the shock absorbers on the outer wheels, improving cornering, says David Diamond, the vice president of business development at Levant.
The AP [via Google] reports that NHTSA’s investigation of the pedals manufactured by CTS that were behind Toyota’s recent unintended acceleration recall has widened to include 2007 model-year Dodge Calibers. Dodge built 161,000 Calibers in the 2007 model-year, but according to Chrysler Group complaints of sticking accelerators only cover about 10,000 vehicles built between March and April of 2006… even though all 2007 model-year vehicles were built with CTS pedals. So what’s the difference between vehicles made in that five-week period and the rest of the 2007 model-year? According to Chrysler spokesfolks:
We have data that is telling us that there were a certain amount of complaints during that time period

Back in February, we took note of Chrysler’s “principled” stand on new-product secrecy, concluding:
Let’s face it: Chrysler needs buzz, hype, awareness, some kind of excitement surrounding its future generally and its forthcoming products in specific (if only in the irritating “teaser” format) almost as much as it needs anything else. Because as things stand right now,the baseline perception of Chrysler is of a dying company with nothing to offer. In this light, Chrysler’s principled rejection of hype is far more likely to be interpreted as keeping rushed semi-refreshes under wraps so they won’t be mocked to death by the time they go on sale. If that’s not the case, Chrysler has nothing to lose and everything to gain by building consumer awareness of new products. If it is, well, the truth will out sooner or later.
And apparently we’re not the only ones who think so. In fact, if the Detroit News is to be believed, literally everyone seems to think that Chrysler needs to start being more open, not only about its forthcoming products, but at every level of its business. Read More >
If there’s a single phrase dominating the imaginations of auto executives right now, it’s the infamous neologism of “too big to fail.” Whether executives justify their obsession with consolidation with their fear of a Chinese planet, efficiency-standard ramp-ups, or mere groupthink, there’s no doubt that consolidation is currently the name of the game. And it should be, not only for these reasons, but also because the last several years have proven that the car game is no industry for small companies. Nothing illustrates this quite like the US government’s “bailout” of auto industry supplier firms, which ended on April Fools Day.
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In the TTAC Pedal Series “Toyota Gas Pedal Fix Simulated: Friction Reduced, But By Too Much”, I anticipated that the crude shim fix for the recalled CTS “sticky pedals” would result in an uncomfortable pedal feel at the least and quite possibly unsafe characteristics at worst. A quick refresher: a carefully controlled degree of friction (hysteresis) is essential in an e-pedal, otherwise smooth changes and maintaining steady states in throttle position become difficult if not impossible. I wrote: “Undoubtedly, Toyota’s intended degree of friction will be compromised by this fix, to one degree or another. And drivers may find the fix unpleasant or uncomfortable, also to some degree or another. Clearly, this fix is a band aid to fix the intrinsic limitations of this design.”
I’ve been counting the days until someone complained about the results of the pedal fix. Yesterday it came, from TTAC reader JAQUEBAUER:
My daughter took her 2009 Camry in to the dealer today for the Gas Pedal recall, and were very surprised and disjointedness with the “fix” that Toyota has chosen for this problem. We picked the car up, getting the keys and a copy of the repair order from the cashier. We were not told about any precautions to take or be aware of changes in the operation of the car. The Repair order indicated that the cars computer was reprogrammed, and some work was done on the gas pedal. I asked her to test drive the car in the dealers parking lot before she went home, to check for any problems.
There were 2 issues she found unacceptable, that I want to talk about here. Read More >

News that the FBI had raided three Japanese supplier companies in the Detroit area came in the middle of yesterday’s epic Toyota hearings, adding to the day’s chaos and misinformation. The FBI said clearly at the time that Denso, Tokai Riko and Yazaki were raided as part of an antitrust investigation, which we now know [via Reuters] involves alleged cartel activities in the wiring harness supply market, and involves European firms like France’s Leoni as well. Despite the fact that Denso and Yazaki are cooperating with investigators, and that the US raids appear to be in support of an EU investigation, Rep Mark Souder (R-IN) took the opportunity to connect the Denso raid with the Toyota recall hearings in shameless style. And all to help clear the name of the US-based supplier CTS, which has been blamed for the sticky pedal recall, which just so happens to be in Rep. Souder’s district. Full, mind-blowing quote after the jump.








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