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Profiles of Major Suppliers to the Automotive Industry

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Profiles of Major Suppliers to the Automotive Industry HE 1 8.5 .A3^ 06 218 no. NHTSA-82-1. Ill profiles of Major Suppliers 001 - TSC- to the Automotive Industry NHTSA- S2-1 .III Volume 3: Plastics, Glass and c . 2 Fiberglass Suppliers to the Automotive Industry J.A. Mateyka W.R. Magro DcFAHTMENT OF A.S. Karlin TRANSPORTATION D.J. Yea DEC 0 6 lijoi ' LIBRARY Booz, Allen and Hamilton, Inc. Transportation Consulting Division Bethesda MD 20014 August 1982 Final Report This document is available to the public through the National Technical Information Service, Springfield, Virginia 22161. liS. Department of Transportation National Highway Traffic Safety Administration Office of Research and Development Washington DC 20590 NOTICE This document is disseminated under the sponsorship of the Department of Transportation in the interest of information exchange. The United States Govern- ment assumes no liability for its contents or use thereof. NOTICE The United States Government does not endorse pro- ducts or manufacturers. Trade or manufacturers’ names appear herein solely because they are con- sidered essential to the object of this report. ' — /S'.s. department . A3^ of transportation i:>cr^r^c- l~r /* DEC 0 I'jo^ a , Technical library Report Documentotion Poge 1. Report No. 2. Govornil 3. Roeipioni's Cotolog No. DOT-HS-806 218 4. Tirlo ond Subtitle S. Report Ooto August 1982 PROFILES OF MAJOR SUPPLIERS TO THE AUTOMOTIVE 6. Performing Orgonizotion Code INDUSTRY: VOL. 3 PLASTICS, GLASS AND FIBER- DTS-322 GLASS SUPPLIERS TO THE AUTOMOTIVE INDUSTRY 8. Performing Orgonizotion Report No. 7. Author',) Mateyka, W.R. Magro, DOT-TSC-NHTSA-82-1. Ill A. S. Karlin. D.j. Yee 9. Performing Orgonizotion Nome ond Address 10. Work Unit No. (TRAIS) Booz , Allen and Hamilton, Inq.* HS275/R2412 Transportation Consulting Division n. Controet or Gront No. Bethesda, Maryland 20014 13. Typo of Report ond Period Covered 12. Sponsoring Agency Nome ond Address U.S. Department of Transportation October 1978-October 1980 National Highway Traffic Safety Administration Final Report Office of Research and Development 14. Sponioring Agency Code Washington DC 205 90 NRD-13 15. Supplementory Notes U.S. Department of Transportation Research and Special Programs Administration *Under contract to: Transportation Systems Center Cambridge, Massachusetts 02142 16. Abttroet This Study summarizes extensive information collected over a two-year period (October 1978 to October 1980) on suppliers of parts and components, materials, and machine tools to the automotive industry in the United States. The objective of the study was to provide data and information in support of analyses of the U.S. automotive industry. The results of this effort are published in seven volumes — Volume I: Overview; Volume II: Iron, Steel, and Aluminum Suppliers to the Automotive Industry; Volume III: Plastics, Glass, and Fiberglass Suppliers to the Automotive Industry; Volume IV: North American Parts and Component Suppliers to the Automotive Industry; Volume V: Multinational18. Automotive Parts and Components Suppliers; Volume VI: Foreign Automotive Parts and Components Suppliers; and Volume VII: Machine Tool Suppliers to the Automotive Industry. 19. 20. 17. Kay Word, Oi,tribution Stotamont Automotive Parts, Components, Document is available to the public Materials, Plastics, Glass, through the National Technical Fiberglass, Machine Tools Information Service, Springfield, Virginia 22161 Saeurity Clo,,if. (of thi, raport) Saeurity Clo,,if. (of thi, poga) 21* No. of Pog«t 22. Priea UNCLASSIFIED UNCLASSIFIED 304 Form DOT F 1700.7 (8-72) Reproduction of completad poge authorized . PREFACE Automobile manufacturers, in general, produce only selected, key elements and subassemblies for their final product, and rely on a widespread and complex logistics network including material suppliers, foundries and fabricators for wide variety of other necessary components going into the finished automobile. Because of the importance of the automobile industry to the United States and to the world economy, it is important to under- stand the makeup of the logistics infrastructure and to understand its internal interrelationships and workings with the industry it supports. The purpose of this study was to gather all possible and pertinent information on suppliers to the automotive industry, and to present it in a form for ease of reference and further analysis Ill EACTORS tt «t At It »l Cl tl •I Jii JiHt iiiL uiIdiuiDiiii iidLiiidIuii iidLiiiidIuii iiJiiiiiiiiiiii iniuiiiniiiaiDiiiliiiilmiiuiiiiiiin!iifl niJiai liiiiii! ml iiiminlguL'iiiliiiiliio iiuKiniia'Hiioiiiiiliniioiiliii&mliiii noliiiiliiii iiiitiuiliiiiliiii [Siisi CONVERSION METRIC IV . TABLE OF CONTENTS Page Section Number 1 . INTRODUCTION 1-1 1.1 Study Background and Objectives 1-1 1.2 Scope of This Report 1-2 1.3 Methodology 1-3 1.4 Organization 1-3 2. PLASTICS INDUSTRY 2-1 2.1 Plastic Production 2-1 2.2 Size and Structure of the Plastics Industry.... 2-4 2.3 The Automobile and the Plastics Industry 2-6 2.4 Key Issues 2-12 3. MONSANTO COMPANY 3-1 3.1 Corporate Size and Structure 3-1 3.2 Production and Operations 3-5 3.3 Financial Analysis 3-13 3.4 Research and Development 3-16 3.5 Labor and Government Relations 3-16 4. BORG-WARNER CORPORATION 4-1 4.1 Corporate Size and Structure 4-1 4.2 Major Markets and Products 4-4 4.3 Overall Corporate Strategy 4-7 4.4 Production and Operations 4-7 4.5 Financial Analysis 4-12 4.6 Research and Development 4-15 4.7 Labor and Government Relations 4-15 5. UNION CARBIDE 5-1 5*1 Corporate Size and Structure 5-1 5.2 Major Markets and Products 5-3 5.3 Corporate Strategy 5-8 5.4 Production and Operations 5-9 5.5 Financial Analysis 5-19 5.6 Research and Development 5-21 5.7 Government Relations 5-23 6 MOBAY 6-1 6.1 Corporate Size and Structure 6-1 6.2 Major Markets and Products 6-2 6.3 Corporate Strategy 6-7 V TABLE OF CONTENTS (Continued) Page Section Number 6.4 Production and Operations 6-8 6.5 Financial Analysis 6-11 6.6 Research and Development 6-12 6.7 Government Relations 6-15 7. HERCULES 7-1 7.1 Corporate Size and Structxire 7-1 7.2 Major Markets and Products 7-3 7.3 Corporate Strategy 7-7 7.4 Production and Operations 7-8 7.5 Financial Analysis 7-13 7.6 Research and Development 7-16 7.7 Government Relations 7-16 8. AMOCO (STANDARD OIL COMPANY OF INDIANA) 8-1 8.1 Corporate Size and Structure 8-1 8.2 Major Markets and Products 8-4 8.3 Marketing Strategy 8-5 8.4 Production and Operations 8-6 8.5 Financial Analysis 8-9 8.6 Research and Development Plans 8-11 8.7 Labor and Government Relations 8-11 9. B.F. GOODRICH 9-1 9.1 Corporate Size and Structure 9-1 9.2 Major Markets and Products 9-2 9.3 Corporate Strategy 9-5 9.4 Production and Operations 9-6 9.5 New Plants and Expansions 9-6 9.6 Financial Analysis 9-13 9.7 Research and Development 9-15 9.8 Labor Relations 9-17 10. E.I. DUPONT DE NEMOURS & COMPANY 10-1 10.1 Corporate Size and Structure 10-1 10.2 Major Markets and Products 10-3 10.3 Production and Operations 10-7 10.4 Financial Analysis 10-16 10.5 Research and Development 10-18 10.6 Government and Labor Relations 10-20 vi TABLE OF CONTENTS (Continued) Page Section Number 11. GENERAL ELECTRIC 11-1 11.1 Corporate Size and Structure 11-1 11.2 Major Markets and Products 11-4 11.3 Corporate Strategy 11-8 11.4 Production and Operations 11-8 11.5 Research and Development 11-13 11.6 Financial Analysis 11-15 11.7 Government and Labor Relations 11-15 12. GENERAL TIRE & RUBBER COMPANY 12-1 12.1 Corporate Size and Structure 12-1 12.2 Major Markets and Products 12-2 12.3 Production and Operations 12-6 12.4 Financial Analysis 12-15 12.5 Research and Development 12-18 12.6 Labor Relations 12-19 12.7 Government Relations 12-19 13. DAVIDSON RUBBER DIVISION OF EX-CELL-0 CORPORATION 13-1 13.1 Corporate Size and Structure 13-1 13.2 Major Markets and Products 13-4 13.3 Production and Operations 13-6 13.4 Financial Analysis 13-11 13.5 Research and Development 13-13 13.6 Government and Labor Relations 13-15 14. THE GLASS AND FIBERGLASS INDUSTRY 14-1 14.1 The Glassmaking Process 14-1 14.2 Glass and the Automotive Industry 14-6 14.3 Major Issues Affecting the Glass Industry 14-8. 15. PPG INDUSTRIES, INC 15-1 15.1 Corporate Size and Structure 15-1 15.2 Major Markets and Products 15-2 15.3 Production and Operations 15-7 15.4 Financial Analysis 15-21 15.5 Research and Development 15-23 15.6 Government and Labor Relations 15-25 vii TABLE OF CONTENTS (Continued) Page Section Number 16 . LIBBEY-OWENS-FORD 16.1 16.1 Corporate Size eind Structure 16-1 16.2 Major Markets and Products 16-2 16.3 Production and Operations 16-8 16.4 Financial Analysis 16-23 16.5 Research and Development 16-26 16.6 Labor Relations 16-26 17. OWENS-CORNING FIBERGLAS CORPORATION 17-1 17.1 Corporate Size and Structure 17-1 17.2 Major Markets and Products 17-3 17.3 Financial Status ^ 17-10 17.4 Research and Development Plans 17-11 17.5 Labor Relations 17-14 viii LIST OF ILLUSTRATIONS 2- Page Figure3- Number 1 Simplified Derivation of Some Major Automotive 2-2 Plastics 1 Monsanto Company Organization 3-3 3-2 Monsanto Corporation Market Data 3-4 3-3 Addyston Plant 3-6 3-4 Anaheim Plant 3-7 3- 3-5 Muscatine Plant 3-8 4- 3-6 Pensacola Plant 3-9 3-7 Springfield Plant 3-10 3-8 Trenton Plant 3-11 3-9 Operating Analysis of Monsanto 3-14 4- 5- 10 Capital Analysis of Monsanto 3-15 1 Borg-Warner Corporation Corporate Organization.
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