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Electric vehicle: 15,000 parts and components

An electric vehicle requires an average of 15,000 individual parts/components, says the American Automotive Policy Council (AAPC).

To consider: the typical passenger vehicle with an internal combustion engine has about 30,000 individual parts and components.

In any case, the automotive supply chain is the longest and most complex of all U.S.-manufactured consumer goods.

The 9 million passenger vehicles produced in the United States last year (expected to be about 11 million by 2022) use inputs from many other U.S. industries, including metal smelters, such as steel, iron, aluminum, magnesium, and copper (e.g., for body panels, engine blocks, and suspension and steering systems).

Also those vehicles require electronics (e.g., semiconductors, digital displays, infotainment systems, lighting, electric motors, etc.); rubber (tires, hoses, belts); textiles (carpeting, seat upholstery, airbags, etc.); chemicals/plastics (e.g., for dashboards, interior fittings, etc.); and glass (e.g., for windshields and mirrors).

The AAPC, which represents the interests of Ford, General Motors and Stellantis, emphasizes that U.S. automakers’ purchases of these inputs, some of which the automotive sector is the largest single consumer, support these industries and generate economic activity and job creation in the United States.

Electric vehicle

The long and complex nature of automotive supply chains, coupled with just-in-time manufacturing, makes it particularly vulnerable to disruption.

This is evidenced by the severe impact that the semiconductor supply chain crisis has had on the U.S. automotive sector.

According to the AAPC, there was an estimated loss of production of 1.52 million vehicles in 2021, estimated to be worth about $42 billion.

This is equivalent to the production of six auto assembly plants and puts some 400,000 U.S. jobs at risk.

Unfortunately, the shortage of semiconductors used by the automotive industry is far from over.

The AAPC adds that this year there will foreseeably be a production loss of more than one million vehicles, equivalent to the output of 4-5 automotive assembly plants, putting more than 300,000 U.S. jobs at risk.

 

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