Detroit Chamber of Commerce looks at auto companies through the eyes of analyst John McElroy

Posted at 5:51 PM, Apr 17, 2020
and last updated 2020-04-17 17:51:31-04

DETROIT (WXYZ) — The auto industry has been in a worldwide shutdown that is unprecedented and analyst John McElroy told a group listening on a webinar conference call the pain is widespread.

He also talked with me on Zoom saying this will affect consumers who buy cars, dealers who sell cars, suppliers who make the components, financial institutions, insurance companies the automakers.

“We’ve never seen anything like this before,” McElroy told me.

McElroy says the autos are burning through billions of dollars and will likely push back development of autonomous vehicles that are still a ways off, but will continue to spend on electric cars that so many governments around the world are requiring.

The new normal will be safety inside the plants as the Detroit Big 3 are looking at reopening as soon as next month.

McElroy says the safety GM is using inside a Kokomo plant making ventilators with Ventec has strict safety measures in place. Inside a large-scale assembly plant will be a big challenge because at some work-stations employees are required to work closer together.

He says in some settings the workers may need to volunteer and get “combat pay.”

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