PWC is rating the current environment in the US as “about as good as it gets,” as America’s auto industry powers back from the depths of 2009.
Addressing delegates at this year’s Automotive News World Congress in Detroit, PWC global and US automotive leader, Rick Hanna, outlined some megatrends behind the analyst’s thinking surrounding the resurgence and in particular, one key driver.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
“Because of lean industry, we have a very profitable industry,” he said. “Our view of the megatrends is not projections – it is based on facts and data. “In the US, this is about as good as it gets.
“The pace of change has never been faster. We are projecting about 40% of the value of the automobile will come out of technology – a very drastic change.
“The answer to some of these challenges [is] going to be technology and innovation. The companies that support their R&D dollars will be the winners in the future – that goes without saying.”
Hanna identified mass urbanisation in megacities and that 75% of the world’s population would live in towns by 2030, as well as resource scarcity, as key issues confronting automakers in the future.
He also cited the growing power of middle classes as a consuming segment and the extraordinary 50% increase in energy demand needed to meet future needs as equally important factors.
“You become a leading, innovative company by having a strategy and focusing where you invest those [R&D] dollars,” said Hanna.
“It does not happen overnight.”
