auto parts

Auto/Economy
10:33 am
Thu April 19, 2012

U.S. auto production might struggle to meet demand

A Ford assembly plant.
Ford Motor Company

U.S. auto companies are faced with pent up demand from consumers at a time when their supplies for parts and materials are getting squeezed.

The Associated Press reports the shortages could limit the number of vehicles companies can sell, and squeeze a historic turnaround for the U.S. auto industry.

The most immediate problem — a shortage of a crucial plastic resin, caused by an explosion March 31 at a plant in Germany — could surface in a few weeks. And later this year or beyond, automakers could be confronted with an even bigger crisis, running short of parts simply because there aren't enough factories and people to make them.

The AP points out that the new process for manufacturing makes automakers vulnerable to these kinds of disruptions because auto suppliers don't stockpile parts the way they used to.

Instead, to hold down warehouse and inventory costs, they rely on a "just in time" system in which parts are delivered just days or hours ahead of when they are needed.

Auto
4:59 pm
Mon May 16, 2011

Owners of auto parts company charged with fraud

CHESTERFIELD TOWNSHIP, Mich. (AP) - Two brothers whose Michigan company supplies parts to the auto industry have been charged with fraud in an investigation of the quality of plastic.

Orman and David Bernhardt of Davalor Mold are accused of using less expensive materials than required in seat belt assemblies and then covering it up through false reports.

The fraud charge was filed Monday. Their lawyer is Bob Sheehan, and he says a guilty plea is planned.

He says there's "absolutely no safety issue." Sheehan says the parts were tested by federal regulators.

Davalor Mold is in Macomb County's Chesterfield Township, about 30 miles northeast of Detroit. The company works for Tier I auto suppliers, which supply parts for automakers. The alleged scheme lasted for two years until spring 2010.

Auto
9:47 am
Thu March 3, 2011

Howell auto parts plant fire

Investigators are picking through what’s left after a fire heavily damaged an auto parts plant in Howell on Wednesday.  Dozens of firefighters from six different Livingston County communities joined forces to battle the blaze at the Magna Atreum auto parts plant.  

About 450 people work at the plant which produces dashboards, consoles and other parts for General Motors, Ford, Chrysler, Nissan and Mazda.  The cause of the fire is still under investigation. 

The full extent of the damage and how long it will take get to the facility back up and running is also still being reviewed.  No one was injured in Wednesday’s fire.