In the news
A.T. Kearney’s 15th Annual Automotive Study Indicates U.S. Auto Sales Volumes Will Trend Back to Historical Levels by 2013 17 May 2011—atkearney.com A.T. Kearney's 15th annual automotive study forecasts 13.2 million new autos will be sold in the U.S. this year. The study further anticipates an upward trend toward pre-recession levels of about 16 million units by 2013.
Japan Quake May Cut Global Auto Output by about 30%, IHS Says 24 March 2011 — Automotive News Dan Cheng, the Americas Lead for A.T. Kearney's Automotive Practice, explained supply chain implications related to the lower tiers that are managed by Tier 1 suppliers.
Ferrari Targets Families in Fast Lane with $359,000 FF Supercar 1 March 2011 — Bloomberg A.T. Kearney Partner Marco Santino comments on Ferrari's new model that widens its offer into a new niche.
GM and Ford on Track for Further Savings 16 November 2010 — Reuters Ford Motor Co. and General Motors Co. will catch their best-run rivals over the next five years on one key measure of potential profitability — annual sales of their top global car platforms, A.T. Kearney consultant Daniel Cheng said.
GM IPO Multiple Times Oversubscribed 12 November 2010 — Edmonton Journal Dan Cheng, an A.T. Kearney partner, said GM’s reception could show that investors are more confident that the auto industry has come through the crisis of the past two years with sharply lower costs and higher profit potential.
Opinion: Competitiveness of Japanese automobile industry in the future 8 November 2010 — Nikkan Jidosha Shimbun Eiji Kawahara, A.T. Kearney Partner in Tokyo, discusses the competitiveness of the Japanese automobile industry in the most popular auto-specialized newspaper in Japan. Today’s business environment has been drastically changed. To make a choice for success from infinite choices and attain sustainable development, the automobile industry needs sophisticated management. Flexibility and speed are most important, as future changes are uncertain. In addition to the “what,” the "how" is key in ensuring flexibility.
Surveys of Auto Suppliers Find Hefty Profits, Rosy Outlook 11 October 2010 — Automotive News Nearly two-thirds of suppliers expect 2010 revenue to finish at least 20 percent higher than last year, according to a global survey of 220 supplier executives by consulting firm A.T. Kearney.
Tata Motors Plans Big Overseas Push 12 September 2010 — LiveMint.com Kumar Venkatraman, principal with A.T. Kearney, discusses Tata Motors' move to establish a local presence in markets and customization to suit varied geographies.
Auto Loan Restrictions Slow Full Sales Recovery 21 June 2010 — WardsAuto.com According to a recent A.T. Kearney study, tighter auto-loan restrictions continue to impede an immediate full recovery of auto sales.
Going with the Cash Flow: Grede Typifies Story of Supplier Survival 20 June 2010 — Crain's Detroit Business Daniel Cheng, A.T. Kearney partner and head of the company's automotive practice in North America, discusses findings from the firm's recent research study that shows delays in payments from automakers to tier-one suppliers.
A.T. Kearney's 14th Annual Automotive Study Indicates Auto Sales Volumes Will Trend Back to Historical Levels by 2012 27 May 2010 Since 2007, approximately 20 million units of pent-up demand have accumulated – of which more than 9 million units will be recovered during the anticipated economic recovery over the next 5 years. The study's other findings include details of the "global car" where a global platform with one million units of production provides that OEM with a $700 per vhicle cost advantage.
Global Platform Strategy to Further Industry Consolidation, Firm Says 19 May 2010 — WardsAuto.com Despite high-profile failures such as the Chrysler Corporation-Daimler AG marriage, the cost advantages presented by mergers and partnerships will be too lucrative for most auto makers to pass up -- with cost advantages likely to come via increased use of global platforms.
AT Kearney sees 11.7 million US 2010 auto sales 18 May 2010 - Reuters Dan Cheng, A.T. Kearney Partner and Lead of the Americas Automotive Practice, said the range from a "pessimistic" to an "optimistic" forecast for 2010 is 11.4 million to 12.3 million autos sold.
Pent-up demand to the rescue? 18 May 2010 – Automotive News Consumers have delayed buying cars and trucks during the recession. The average age of all light vehicles on U.S. roads was 9.8 years at the end of 2009, and will rise to 10.1 years by 2011, says consultancy A.T. Kearney. "We know cars last longer, but they don't last forever," says A.T. Kearney partner Daniel Cheng.
Used Cars Putting Squeeze on Mexico New-Vehicle Sales 10 May 2010 — WardsAuto.com Ricardo Haneine, A.T. Kearney Partner, comments on Mexico's auto market and the impact on new-vehicle sales because of an influx of used cars and trucks from the U.S.
Mexico Auto Industry Poised for Growth in 2010 18 March 2010 — WardsAuto Ricardo Haneine, A.T. Kearney Partner in the Mexico City office, explains the importance of training for Mexico's workforce to continue growth in the automotive market.
Automotive Suppliers Struggle to Survive 18 December 2009 — Spiegel Online International Götz Klink, an A.T. Kearney vice president in the Stuttgart office, discusses the unprecedented plunge in German auto suppliers.
Panasonic's Purchase of Sanyo May Spur More Battery Takeovers 11 December 2009 — Bloomberg.com Eiji Kawahara, A.T. Kearney partner in the Toyo office, comments on the development of new energy technology for electric vehicles and how it may give Panasonic and Sanyo “more bargaining power” over carmakers.
Auto industry supply chain is shrinking 29 October 2009 — American Public Media Doug Harvey, A.T. Kearney partner in the Americas automobile practice, discusses consolidation of auto suppliers.
Auto industry stress 21 May 2009 — Business News Network North American Automotive Practice Leader, Dan Cheng, is interviewed on Business News Network (BNN) about the findings of A.T. Kearney’s 2009 Automotive Townsend Study. BNN Host Michael Kane’s questions focus on the firm’s auto-industry stress test and what it reveals about the U.S. auto business’s future.
Downturn to drive shakeout in US auto sector-study 14 May 2009 — Reuters The US auto market has too many automakers for the long term and the deeply stressed supply base needs $24 billion over this.
Auto suppliers could need up to $33.5B in aid 14 May 2009 — LeftLane News Chrysler and General Motors have now received more than $20 billion in government loans to keep their operations afloat but a new study.
A.T. Kearney’s 13th Annual Auto Study Provides Forecasts for U.S. Auto Sales Through 2014 14 May 2009 — atkearney.com A new study demonstrates that auto sales are driven by four macroeconomic factors and presents forecasts for new auto sales for each of the next 5 years.
World's carmakers racing to form alliances 12 May 2009 — Los Angeles Times Dan Cheng, A.T. Kearney partner and Automobile lead for the Americas practice, comments on the future of the automotive playing field.
More than half of the automotive supply base could go bankrupt in 2009; at least 1 million job losses expected 20 March 2009 — atkearney.com Current market conditions could cause more than half of the country’s Tier 1 automotive suppliers to file for bankruptcy in 2009, creating 1 million additional job losses and creating an estimated $9 billion income tax revenue shortfall.
Half of US auto suppliers face bankruptcy 19 March 2009 — Reuters.com More than half of the top U.S. auto parts suppliers could file for bankruptcy protection in 2009 with at least one million job losses.
Pile them high 13 November 2008 — The Economist A.T. Kearney analysis forecasts global demand for low cost cars.
DOE Rules for Auto Loans Too Strict, Don’t Do Enough, Critics Claim 6 November 2008 — WardsAuto.com A.T. Kearney partner Dan Cheng suggests the standards for eligibility are so rigorous few companies will qualify.
Ultra-Low-Cost Cars Pose Opportunities, Risks, Study Shows 28 August 2008 — WardsAuto.com Dan Oxyer, A.T. Kearney partner, discusses the risks and rewards of entering the ultra-low-cost car market.
U.S. Auto Sales to Be 14.1 Million in 2009, Firm Says 5 August 2008 — Bloomberg.com Dan Cheng, A.T. Kearney Lead for Americas Automotive, discusses the effect of fuel prices and the economy on the U.S. automotive market.
Don’t Look to India, China for Bailout, Suppliers Warned 5 August 2008 — WardsAuto.com North America's supply base is on its own in the struggle to survive soaring material costs, declining volumes and a rapidly changing market, says a new A.T. Kearney study.
In India, a $2,500 Pace Car 12 October 2007 — The New York Times A. T. Kearney estimates that a car with a $3,000 list price could attract 300 million buyers in India by 2020.
German, Japanese Companies Seen To Dominate Car Parts Market 27 August 2007 — German News Digest According to a study by A.T. Kearney, around 20 pct of all sales of the top 150 U.S. car parts suppliers in 2005 were attributed to companies which are now insolvent.
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Where change is constant; As private-equity money flows in, supplier growth is found mainly overseas 23 July 2007 — Crain’s Detroit Business An A.T. Kearney study predicts that private ownership of North American automotive suppliers will grow from 25 percent to 36 percent by 2010. Already, the top 10 private-equity deals from 2001-2007 targeted approximately $135 billion in revenues in the automotive industry.
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