TRAVERSE CITY, Mich. (Aug. 8)—Domestic car makers need money, and they're looking to the supply base to get, said Tim Leuliette, chairman, CEO and president of Metaldyne Corp. during the 2002 automotive Management Briefing Seminars. "There is little chance that beating the hell out of the supplier base, breaking contracts, not paying your tooling bills is going to get to the root cause of your problem, Big Three," he told an audience which included auto maker executives. If that were the case, the domestic car makers would have 100 percent market share by now, he said. Leuliette urged other parts makers to use the clout that comes through employing 80 percent of the industry's workers and attracting 50 percent of the sector's capital investment to stand up to the auto makers. Suppliers are in the business to make money by making components, not just to make components, he said. The Metaldyne executive also admonished its peers to redouble their efforts to work with the New American Manufacturers. "There is a much more cooperative approach to cost reductions," he said.
Metaldyne CEO urges automotive suppliers to use their collective clout
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