**North America**: A recent survey reveals that 85% of automotive executives are planning to increase reliance on local suppliers in response to global challenges, with a focus on EV battery production and AI technologies for enhanced resilience and competitive advantage.
A recent survey by Thomas has revealed a significant shift in the automotive industry, with nearly 85% of executives planning to increase their reliance on North American suppliers in 2025 as a measure to bolster their supply chains. This move indicates an emerging trend towards collaboration with local suppliers, aiming for resilience in the face of ongoing global challenges.
The survey, titled “Driving Progress: The 2025 Automotive Manufacturing Survey,” notes that 41% of respondents are also considering reshoring components of their operations, reflecting a broader strategy to enhance competitive advantage through domestic production capabilities.
Key areas of innovation have been identified, with the development of electric vehicle (EV) battery production and alternative fuel sources topping the list of priorities. Specifically, 41% of executives cited advancements in EV batteries as crucial for the industry’s future, while 37% are focusing on alternative fuels. Additionally, nearly a third of respondents (30%) indicated plans to adopt artificial intelligence (AI) technologies to expedite product development and improve supply chain efficiencies.
Peter Goguen, Chief Operating Officer of Thomas and its parent company Xometry, emphasised the industry’s growing trust in local suppliers. Speaking to GlobeNewswire, Goguen stated, “Auto industry executives throughout the U.S. are relying on suppliers closer to home while also reshoring some of their operations to accelerate their go-to-market strategies.” He highlighted the significance of investing in technologies such as 3D printing and robotics, which are becoming crucial for the evolution of vehicle technologies across various categories, including electric, hybrid, traditional combustion-engine, and autonomous vehicles.
The findings underscore the automotive sector’s shift from a cost management approach towards a focus on value creation through enhanced supplier relationships and collaborations. As the industry continues to evolve, the trends reported in this survey may lead to a more resilient and adaptable manufacturing landscape in North America.
Source: Noah Wire Services
