supplier Archives | AutoDepot

Report: Ford sues Japanese wiring harness supplier over price fixing

Filed under: Government/Legal, Ford

The dirty secrets of the multibillion-dollar wiring harness industry are being uncovered bit by bit, as more suppliers are found to be connected to a global price-fixing scandal. Automotive News reports that Ford is now suing a Japanese supplier that admitted to fixing prices of wiring harness components in a previous criminal investigation.

The civil lawsuit was filed in US District Court in Detroit against Fujikura Ltd. and its Detroit subsidiary, Fujikura Automotive America, on Tuesday. The lawsuit claims that the aforementioned companies coordinated with other suppliers to fix the prices of wiring harnesses sold to Ford from January 2000 through at least February 2010. Fujikura agreed to pay a $20 million fine in the criminal investigation, and Ford is suing for triple the damages – as allowed by US law – on the $10 billion it spent on harnesses during the 10-year period, though it’s not known how much money Ford lost on them.

The wiring harness industry, in 2010, was a $26.9 billion business, and the size of the investigation into price fixing reflects this. In February, Scott Hammond, US deputy assistant attorney general, said the investigation into price fixing “has grown over time and is broader than what we’ve announced so far,” reports Automotive News.

Ford sues Japanese wiring harness supplier over price fixing originally appeared on Autoblog on Fri, 19 Jul 2013 18:31:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments

Continue reading “Report: Ford sues Japanese wiring harness supplier over price fixing”

Study: Toyota still tops in supplier relations, but only just

Filed under: Plants/Manufacturing, Chrysler, Ford, GM, Honda, Toyota

When it comes to manufacturing and selling a complicated product like an automobile, a company’s relationship with its suppliers is of huge importance. A good working partnership can translate into higher levels of reliability and lower cost as well as early access to cutting-edge tech. According to a new study conducted by Detroit-based consulting firm Planning Perspectives, Toyota has one of the best relationships with its suppliers among all of the world’s automakers. The Detroit Bureau reports that this is the first time in three years that the Japanese automaker has held the top slot.

Honda came in just behind Toyota in the study, but Ford, General Motors and Chrysler have made serious strides toward improving their supplier relationship. In the past, the domestic automakers have continuously pressed their suppliers to produce parts with a lower price tag, which generated conflict. That seems to be changing, however. The Planning Perspectives study says that Ford may even overtake Honda and Toyota in coming years.

Meanwhile, Japanese automakers have seen their supplier relationships degrade over repeated recalls and other quality issues.

Toyota still tops in supplier relations, but only just originally appeared on Autoblog on Mon, 23 May 2011 16:01:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments

Continue reading “Study: Toyota still tops in supplier relations, but only just”

Formula One gets a new engine supplier

Filed under: Motorsports

With BMW, Toyota and Honda long gone from an expanded grid, the 12 teams in the Formula One World Championship are powered by one of four engines: Ferrari, Mercedes-Benz, Renault or Cosworth. The new turbo four formula that’s set to come into effect for the 2013 championship, however, is geared towards attracting new manufacturers into the series. And according to reports, it has landed its first newcomer.

But the engine supplier in question isn’t an automaker. Nor is it an established race engineering firm like Cosworth. It’s an entirely new enterprise, set up by a former team principal and driver manager. Called PURE, the initiative is being led by Craig Pollock, who managed Jacques Villeneuve’s career and ran the BAR-Honda team for a number of years. Pollock and his team are working on a completely new turbocharged four-cylinder engine design, and aims to have customer teams in place long before the new formula takes effect.

While PURE – which stands for Propulsion Universelle et Recuperation d’Energie (we’ll let you translate that one in your head) – is a new company, it’s not exactly starting from scratch. For starters, the design team mapping out its specifications have all been working on Peugeot and Renault engines for F1 and Le Mans for decades. For another, the engines will be manufactured by a subsidiary of Mecachrome, the company that builds Renault’s F1 engines – including the one that drove Sebastian Vettel’s Red Bull to the championship last year – much as Ilmor does for Mercedes and Cosworth once did for Ford. In other words, they know what they’re doing, and while the existing engine suppliers are still tending to their current V8s, the PURE program could get a leg up by focusing “purely” on the new turbo four.

Formula One gets a new engine supplier originally appeared on Autoblog on Sun, 08 May 2011 08:26:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments

Continue reading “Formula One gets a new engine supplier”

Report: Ford probing worker abuse claims at Chinese supplier

Filed under: China, Government/Legal, Ford

Ford investigates worker abuse in China

Blue collar labor in the U.S. has come a long way in the past century, and Ford Motor Company has been among the leading manufacturers in the fight for hospitable working conditions. But while The Blue Oval is a shining symbol of progress here in U.S., the automaker may have some issues with suppliers in China.

The Detroit Bureau reports that an investigation by The Institute for Global Labour & Human Rights reveals that workers at one of Ford’s Chinese suppliers are being subjected to 14-hour days, seven-day work weeks and dangerous working conditions. And all that for the equivalent of 80 cents per hour. Further, the report claims that supervisors at the plant force their employees to turn off safety equipment so that they can work faster.

And as a result, there have been at least four major injuries according to the report. One worker, who was referred to as “Worker A,” lost three fingers while operating a stamping machine. He received $7,430 for his troubles, compared to $144,000 for a similarly injured U.S. worker. Worker A, like the other injured employees, also lost his job for his troubles. Charles Kernaghan, director of the Institute for Global Labour & Human Rights, is asking that Ford pays about $72,126 to cover the damages for the injured worker.

Ford, for its part, is investigating the claim of worker abuse. The company said in a statement that it takes the situation very seriously, adding “we expect our suppliers to comply with local laws and our Code of Basic Working Conditions.” Head over to The Detroit Bureau for the full report.

[Source: The Detroit Bureau | Image: AFP/Getty]

Report: Ford probing worker abuse claims at Chinese supplier originally appeared on Autoblog on Mon, 07 Mar 2011 17:32:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments

Continue reading “Report: Ford probing worker abuse claims at Chinese supplier”

Honda recalls 470K vehicles after Toyota, both used same supplier

Filed under: Minivan/Van, Sedan, Recalls, Safety, Acura, Honda

Honda has announced that it’s recalling a total of 470,000 vehicles in the U.S. due to the same failing master cylinder problem that caused Toyota to recall 1.66 million vehicles worldwide this week.

According to The Detroit News, the two automakers used the same supplier for the part, and when owners use a type of brake fluid other than what’s used at the factory, a seal within the master cylinder may fail, causing a leak that could eventually lead to loss of braking power altogether. Honda says that a warning light would illuminate before this happened, however.

The Honda recall covers 2005-2007 Acura RL models and 2005-2007 Honda Odyssey minivans, while the Toyota recall includes the 2005-2006 Avalon and 2004-2006 Highlander (non-hybrid only), and 2006 Lexus GS, IS and RX cars and crossovers.

Honda says that at this point, it doesn’t know how many of its vehicles have suffered a master cylinder failure nor how many have leaked. The company says it will replace the faulty seal and, if leaking has occurred, the brake booster will be replaced as well.
There’s no set schedule for fixing those vehicles that are impacted by the recall, but owners should expect to hear something soon.

[Source: The Detroit News | Image: Stan Honda/AFP/Getty]

Honda recalls 470K vehicles after Toyota, both used same supplier originally appeared on Autoblog on Fri, 22 Oct 2010 11:30:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments

Continue reading “Honda recalls 470K vehicles after Toyota, both used same supplier”