Situation Analysis
Due to global supply chain constraints, skepticism was building among media, analysts/investors and other stakeholders on the ability of automakers likeGM to deliver on their electric vehicle (EV) promises.
Five key storylines emerged:
- There is not enough raw material and processing capacity in the world to meet EV production targets;
- ESG risks are high, including the environmental impact of mining, rising US- China trade tensions, and concerns about child labor in the DRC;
- Commodity cost inflation will make EVs unaffordable/unprofitable;
- The pivot to EVs will cost manufacturing jobs;
- A more newly incorporated car manufacturer may have an insurmountable...