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When it makes sense to contract manufacturing out to a specialist, here are the ones to call.

Dan Carney

May 21, 2021

10 Slides

With the automotive industry in a state of flux, one way to hedge against uncertainty and change is to lean on outsourced contract manufacturing to provide components, modules, or to assemble entire cars. This can let carmakers focus on matters that they view as more strategically critical while relying on the specialized expertise and industrial capacity of contract manufacturing partners to help deliver products to customers.

Apple is rumored to be shopping for a contract manufacturer to assemble its planned autonomous electric vehicle, so one of these companies may serve the role in the automotive industry that Foxconn has played for Apple in the consumer electronics industry.

Other of these contract manufacturers could well provide components for that effort, such as batteries, sensors, or motors. But apart from this high-profile newcomer, these contract manufacturers have long played a key role in lending carmakers the necessary flexibility to meet customer demands, especially for niche products whose low volume might not justify the expense of their own assembly plant.

The contract manufacturing industry is also in a state of change, as companies merge, sell, or spin-off parts of their businesses, which can make it challenging to keep up with their current name and markets. Take a look at our gallery to see where these ten stand today.

Related:Myth No More: Hyundai Says the Apple Car Is Coming

 

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