Auto Supplier BorgWarner Cautions on Potential Impact Amid Expanding UAW Strike
🚗 Auto Supplier BorgWarner Cautions on Potential Impact Amid Expanding UAW Strike.
Automotive supplier BorgWarner anticipates a relatively modest impact from the United Auto Workers (UAW) strikes at present. The strikes have primarily affected select final assembly plants of major auto brands like Ford, Stellantis, and General Motors. However, BorgWarner cautioned that if the strikes persist for several weeks or expand to impact other customer plants, including engine and transmission facilities, the impact on its sales would be more significant. The company projects monthly sales to these automakers in North America to be just under $250 million on average for 2023. BorgWarner will provide further updates on the strike's effects during its next earnings call on November 2. In the first half of 2023, the company's sales increased by over $1 billion (14% YoY) to $4.5 billion, with operating profits up by nearly 16%.
The union representing nearly 9,300 workers at Canada’s top two rail companies is signaling a potential work stoppage due to stalled negotiations over working conditions and wage hikes.