Q: Which parts of the supply chain are most vulnerable during this transition to EV? Which parts of the supply chain are poised to benefit?

Freeburg: The most vulnerable parts during the transition are internal combustion engine, transmission, fuel and exhaust system components. In addition, plastic parts such as the air intake manifold, fuel tank, and engine cover have also been reduced. There are some obvious added opportunities for drive motors and battery components. Considering the additional weight of the battery unit, there are additional innovations regarding the weight reduction of other traditional components. Many of his OEMs are looking at how vehicles come together beyond transportation, adding features to increase consumer value. We see interesting storage and features, backup power banks, external speakers, and even a camping grill, just to name a few.

Reneker: The most vulnerable parts of the supply chain are Tier 2 and Tier 3 companies who have yet to start thinking about what the transition to EVs means for them in the near future. Over the past few years, we have communicated to our suppliers that they need to develop long-term plans for this transition. We believe in the power of partnerships and have actively encouraged our suppliers to drive new innovations in the EV space to support this journey. We know these are difficult times and we are continuously monitoring the health of all our suppliers. Foran: The most vulnerable companies are those that cannot adapt quickly or those that manufacture components unique to ICE vehicles such as exhaust systems, fuel tanks and AM radios. Companies with flexible materials and manufacturing processes that can be converted to produce EV components will benefit. Those who can innovate EVs using existing processes and materials will succeed.

Freeburg: The most vulnerable parts during the transition are internal combustion engine, transmission, fuel and exhaust system components. In addition, plastic parts such as the air intake manifold, fuel tank, and engine cover have also been reduced. There are some obvious added opportunities for drive motors and battery components. Considering the additional weight of the battery unit, there are additional innovations regarding the weight reduction of other traditional components. Many of his OEMs are looking at how vehicles come together beyond transportation, adding features to increase consumer value. We see interesting storage and features, backup power banks, external speakers, and even a camping grill, just to name a few. Renneker: The most vulnerable parts of the supply chain are Tier 2 and Tier 3 companies who have not yet started thinking about what the transition to EVs means for them in the near future. Over the past few years, we have communicated to our suppliers that they need to develop long-term plans for this transition. We believe in the power of partnerships and have actively encouraged our suppliers to drive new innovations in the EV space to support this journey. We know these are difficult times and we are continuously monitoring the health of all our suppliers.

Foran: The most vulnerable companies are those that cannot adapt quickly or those that manufacture components unique to ICE vehicles such as exhaust systems, fuel tanks and AM radios. Companies with flexible materials and manufacturing processes that can be converted to produce EV components will benefit. Those who can innovate EVs using existing processes and materials will succeed.