STEVE MILLER ON TESLA, FORD & BEING A SUPPLIER - AUTOLINE AFTER HOURS 419

EV Channels Review

This episode of Autoline After Hours features Steve Miller, President & CEO of IAC, discussing the automotive industry's evolving landscape. A key point of contention is Ford's decision to discontinue most passenger cars in the US market. Miller acknowledges Ford's strategic move to focus on profitable segments, citing inherent cost disadvantages for US automakers due to UAW contracts, which include higher benefit and early retirement structures, as well as productivity inhibitors. He contrasts this with Japanese manufacturers' flexible production capabilities and lower labor costs. The discussion also touches on the impact of government policies like CAFE standards versus gas taxes, with Miller advocating for gas taxes as a more effective tool for influencing fuel efficiency. The conversation shifts to the future, exploring the challenges and potential of electric vehicles, autonomous driving, and ride-sharing, with Miller expressing skepticism about Tesla's long-term profitability despite its market perception and desirability. He highlights the significant R&D efforts by suppliers like IAC to adapt interiors for autonomous vehicles, transforming them into mobile living spaces. The episode concludes with insights into supplier-customer relationships, emphasizing technical ability, logistics, and reliability over price, and the strategic importance of proximity to assembly plants.