Automotive industry trending toward new technology
R. Michael Semple FACING CUTS — A visibly upset U.S. Rep. Timothy J. Ryan, D-Howland, center, listens to UAW Local 1112 Vice President Tim O’Hara, left, and Local 1112 recording secretary Michael A. Aurillo following the announcement Monday from GM concerning the closure of the Lordstown plant.
WARREN — The automotive industry is trending toward fully electric vehicles, larger trucks and SUVs, and new technology — and local manufacturers like General Motors must adjust, an industry analyst said Monday.
The predictions from industry analyst Jeremy Acevendo came on the heels of GM’s corporate realignment that includes eliminating production of the Cruze at its Lordstown complex.
The auto industry trend, according to Acevendo, manager of Industry Analysis at Edmunds.com, a leader in automotive news, has automakers racing to perfect non-combustion engines.
GM fell in line with that goal when it announced last year its plans to be fully electric as soon as 2023.
Monday, the Detroit-based auto giant outlined details that included cutting up to 14,000 workers in North America and putting five plants — including the Lordstown complex — up for possible closure as it abandons many of its car models and restructures to focus more on autonomous and electric vehicles.
Electrification seems to be the future of the industry, Edmunds.com’s Acevendo said. “If this technology takes off, the industry will be looking at a different landscape.”
At the same time, American consumers have been moving, in record numbers, toward trucks and SUVs — and away from small cars like the Lordstown-built Chevy Cruze.
“Cruze sales have been falling year after year,” Acevendo said. “The move toward trucks is reflective of the times, and GM not wanting to buoy sales.”
A need for new technology to accommodate these trends has led GM to develop new technology to replace combustion engines.
With the future of the automotive industry in flux, local plants will need to find a way to capitalize on these changes. Acevendo said there may be an immediate opportunity for some plants to be re-allocated to vehicles and technologies that speak to today’s market.
At least one local economic development expert wasn’t yet giving up on Lordstown GM’s future.
Youngstown Warren Regional Chamber President and CEO James Dignan said Monday he remains hopeful the Lordstown plant might be revitalized by new technology.
“We have an asset there that is being under-utilized, and it’s been under-utilized for some time. Now it’s about making sure we’re ready for the next opportunity,” he said.
Dignan said the chamber will work with GM, the unions and everyone involved to bring something new to the plant. “When you see change coming, you have to be ready for it, and we haven’t always been with our strategic planning.”
Other trends affecting the auto industry include a decrease in need for personal vehicles and the advent of autonomous vehicles.
Ride share programs like Uber and Lyft have reduced individual cars. “Personal ownership might not be the end-all, be-all,” said Acevendo, adding that people are more interested in getting where they need to go than how they get there.
There also is growing interest in autonomous cars.
The Autonomous Vehicle Pilot Program, created this year by Gov. John Kasich, allows automated cars on the roads in willing Ohio communities. Athens, Columbus and Dublin are among the cities currently participating in the program. Youngstown, Cleveland and Dayton also expressed interest.


