AlixPartners Releases Global Automotive Outlook Report

Supply constraints and demand pressures that have driven vehicle prices higher at lower volumes but created operational inefficiencies and distress in the supply chain are poised to continue through 2024 even though chip availability continues to improve, according to new industrywide analysis from global consulting firm AlixPartners.

The continued trend delivers a complex backdrop for an industry committing $526 billion through 2026, AlixPartners’ analysis finds, to fund the shift to battery-electric vehicles (BEVs). The transition, taking place amid a dampened economic outlook, could cost automakers and suppliers $70 billion if not properly managed, the analysis finds.