Optimism for 2021

This week, we introduce Querétaro’s plan for the implementation of a circular industry. The state’s automotive cluster, the plastics cluster and the Ministry of Sustainable Development (SEDESU) are working on a circular economy proposal to be implemented at a state level among different players of the private sector. In other news, industry experts have predicted that new car sales will rebound 9 percent globally in 2021, assuming that vaccines will be widely available by the middle of the year. Also, China’s Yahua agrees to supply Tesla with Lithium, while Bloomberg compiled a list of automakers that might come out of the pandemic stronger than ever.

Buckle your seatbelt, this is the Week in Automotive!

Querétaro Bets on Circular Industry

Circular economies are an efficient way for companies to diminish their carbon footprint. This is what the Queretaro automotive industry wants to focus on, in collaboration with the plastic industry to create a more sustainable form of production in the state. Marco Antonio del Prete Tercero, Minister of Sustainable Development of Queretaro, and Victor Manuel Leal, President of the National Association of Paint and Ink Manufacturers, mention the efforts industries can make and the benefits they can receive, respectively, from the implementation of circular industries.

Car Sales Should Rebound in 2021

A report made by IHS Markit this month forecasts that global sales of new cars will rise from below 75 million in 2020 to over 82 million in 2021 in an “optimistic” scenario. The report also noted that furlough schemes carried out by governments in some countries had given demand a boost and that the possibility of a quicker than predicted global recovery thanks to vaccines further strengthened sales potential.

International

China's Yahua Agrees to Five-Year Deal to Supply Lithium to Tesla

China’s Yahua International signed a deal with EV manufacturer Tesla for the supply of lithium hydroxide for the next five years. Reuters explains that China is one of the top lithium producers and Tesla is among the customers with the largest demand.

Winners and Losers Going Into 2021

Car sales in the US have not been hit as hard by the pandemic and Bloomberg argues that some manufacturers could come out of the pandemic stronger than ever. Lockdowns and restrictions have allowed them to optimize their production strategies, which might enable stronger outcomes in the future. Some of the strongest contenders in Bloomberg’s list are Hyundai and Tesla.