Global Automakers accelerate efforts to reopen plants with testing and lots of masks

Publisher: The Insight Partners

Global automakers reeling from the COVID-19 pandemic are accelerating efforts to restart factories from Wuhan to Maranello to Michigan, using safety protocols developed for China and U.S. ventilator production operations launched in recent weeks.

Certain safety measures differ from manufacturer to manufacturer. Italian sports car maker Ferrari NV said on Wednesday it would offer voluntary blood tests to employees who wanted to know if they had been exposed to the virus.

General Motors Co’s head of workplace safety, Jim Glynn, told Reuters on Wednesday GM is not persuaded blood tests are useful. But Glynn said GM has studied and adapted measures taken by Amazon.com Inc to protect warehouse workers, such as temperature screening to catch employees with fevers before they enter the workplace.

Auto manufacturers and suppliers are converging on a consensus that temperature screening, daily health questionnaires, assembly lines redesigned to keep workers 3 to 6 feet (0.9 m to 1.8 m) apart, and lots and lots of masks and gloves can enable large-scale factories to operate safely.

“We know the protocols to keep people safe,” Gerald Johnson, GM’s executive vice president for global manufacturing, told Reuters in an interview. GM has relaunched vehicle plants in China and kept factories running in South Korea, he said.

GM has not said when it will reopen assembly plants in the United States. Other automakers are putting dates out in public, even though health officials and federal and state policymakers are wary of lifting lockdowns too soon.

“You see vehicle manufacturers ... putting a stake in the ground,” said Brian Collie, head of Boston Consulting Group’s automotive practice. By setting a public date to restart production, they signal suppliers to get ready to ramp up, he said.

The COVID-19 pandemic has thrown the global auto industry into the worst tailspin since the 2008-2009 financial crisis. Consumer demand for vehicles has collapsed as governments have enforced lockdowns in China, and then in Europe and the United States. For the Detroit automakers and their suppliers, the shutdown of profitable truck and sport utility vehicle plants in North America has choked off cash flow.

In Europe, major automakers have said they hope to begin building vehicles again in mid-to-late April. In the United States, several big automakers, including Fiat Chrysler Automobiles NV, Honda Motor Co Ltd and Toyota Motor Corp, are aiming to restart production during the first week of May.

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