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GM Pressures Suppliers to Discontinue Use of Chinese Parts

GM Pressures Suppliers to Discontinue Use of Chinese Parts

General Motors has instructed thousands of suppliers to eliminate raw materials and components from China from their processes, according to a report by British media outlet Reuters, which cites four sources familiar with the matter.

The report indicates that executives at the US automaker have called on several of these companies to find alternatives with the goal of completely eliminating Chinese parts and materials by 2027.

This measure, the report notes, reflects the automaker's growing frustration with the constant disruptions that geopolitical conflicts cause to its operations.

In this regard, GM CEO Mary Barra said during the October quarterly conference call that the company has been “working for several years to achieve supply chain resilience,” adding that the ideal situation is to source parts from the same country where the cars are manufactured, when possible.

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