As we approach the end of yet another eventful year, Standard and Poor's (S&P) has assessed the automotive industry's current state by reflecting on the significant events of the past year and exploring the outlook for 2025.
S&P Global Mobility's Matthew Beecham engaged senior executives from 42 key suppliers in the automotive supply chain for an end-of-year interview initiative aimed at gathering valuable insights about the challenges faced in 2024 and the strategies being formulated for 2025 - prioritizing genuine experiences over elaborate strategies. This report (Volume 1) is the first of four volumes published in late 2024.
Key discussion points encompass significant trends impacting suppliers, such as shifts in demand dynamics, supply chain resilience, and technological advancements. The report also underscores the critical importance of sustainability practices and regulatory compliance for maintaining competitive advantage.
Ansible Motion's managing director, Dan Clark, weighs in:
[In 2024] We’ve seen unprecedented demand for our driving simulators from OEMs, Tier 1 suppliers, and motorsport brands across China, Korea, North America, and Europe. . . . Increased pressure to reduce testing time and costs means the focus on ROI is intensifying. . . . Customers want an integrated approach to vehicle development and testing at every stage of the process, and while our wider vehicle testing business in the AB Dynamics Group offers end-to-end solutions independently, our current focus is on how these laboratory, track testing, and simulation tools can integrate more seamlessly — dovetailing traditional vehicle development workflows with emerging virtual development and sign-off methodologies.
The S&P report also covers the strategic partnerships and collaborations that are currently navigating market uncertainties, the ramifications of geopolitical factors and economic conditions on supplier operations, and a number of agile approaches that are now emerging to address future challenges.
Access the full report on the S&P AutoTechInsight website.
