GlobalData Predicts Ripples Across Global Automotive Industry Because Of US Tariffs

GlobalData Predicts Ripples Across Global Automotive Industry Because Of US Tariffs

Leading data and analytics company GlobalData has predicted substantial ripples across the global automotive industry owing to US Government’s announcement of 25 percent tariff on all foreign automobiles and automotive parts entering the country. Though President Donald Trump has since announced a 90-day suspension on the new tariff implementation to allow trade negotiations with partner trading countries, the report says that the situation still poses a significant challenge for the global automotive industry.

According to Madhuchhanda Palit, Automotive Analyst at GlobalData: “The economic repercussions of these tariffs are particularly pronounced for Japan, where the automotive industry is a vital economic pillar. According to the Japan Automobile Manufacturers Association (JAMA), over 30 percent of Japanese car exports were directed to the US in 2023, solidifying its status as the largest single-country export market. Projections from Japan’s Ministry of Finance indicate that automotive sales accounted for approximately 30 percent of Japan's total exports to the US, valued at around JPY 6 trillion (USD 40 billion) in 2024. The looming tariffs threaten to disrupt this critical trade, compelling the Japanese government to act swiftly to negotiate favourable terms with US officials.”

South Korea too has implemented emergency steps to offset the expected financial impact of US tariffs. With plans to increase policy financing support to local manufacturers to KRW 15 trillion (roughly USD 10.09 billion) by 2025, the South Korean trade ministry has unveiled a multibillion-dollar support package that includes tax breaks, subsidies and increased financial backing for regional automakers. India is positioned to be impacted by the new tariff laws as a major supplier of automobile components to the United States. The 90-day negotiating pause is an important window of time for APAC nations to adjust to the changing nature of trade, notes the report.

The report adds that German manufacturers are expected to suffer the most as a result of the US tariffs on exports from the EU automobile sector. Prominent companies like Mercedes, Audi, BMW and Volkswagen now have to make difficult choices about whether to stop shipments or pay the additional expenses associated with tariffs. As a result of US tariffs on EU steel and aluminium, the EU has responded by levying a 25 percent duty on a variety of US commodities worth about EUR 22 billion. However, the EU has also halted its retaliatory tariffs until the conclusion of ongoing trade talks, in response to the US president's declaration of a 90-day postponement of tariff rises.

The report notes that this tit-for-tat strategy highlights the brittleness of global trade relationships and that a protracted trade war may lead to a negative cycle of tariffs that would hurt both economies. As a result, a solution must be found to promote a more stable environment in the automotive industry. “The US president's decision to suspend tariff increases for 90 days while negotiations unfold presents a critical opportunity for all stakeholders involved. Larger manufacturers may adapt through strategic pricing and production shifts, but smaller suppliers may face a more precarious future amid these changes. As the automotive sector increasingly focuses on domestic production to mitigate tariff impacts, the evolving landscape presents both immediate challenges and potential long-term opportunities for growth and investment,” concluded Palit.

Enviro Disputes Infiniteria’s Request To Terminate Company Reorganisation

Enviro Disputes Infiniteria’s Request To Terminate Company Reorganisation

Scandinavian Enviro Systems AB (publ) has disputed a request from Infiniteria Sweden AB and Infiniteria Europe Sàrl to terminate the company’s ongoing reorganisation. In a statement submitted to the Gothenburg District Court on 22 April, Enviro argued no grounds exist to end the process, originally approved on 27 February 2026. A creditors’ meeting on 18 March saw no opposition to the reorganisation continuing.

The dispute stems from Enviro’s decision to terminate the joint venture agreements with Infiniteria under Swedish law, calling them burdensome and loss‑making. Infiniteria filed a termination request on 15 April, which Enviro answered on 22 April. Enviro disputes the request and several supporting claims.

Enviro states the joint venture caused its financial difficulties, while its business plan shows opportunities to build a profitable enterprise using its patented technology. Infiniteria has asserted a preliminary damages claim of approximately EUR 84 million, but Enviro notes the claim is unsubstantiated and partially overlaps with ongoing arbitration announced on 6 February.

Enviro points to contractual liability caps, including EUR 3 million in the marketing and agency agreement and EUR 2 million in the license agreement. Infiniteria has not shown why these caps should not apply. Regarding the license agreement under English law, Enviro maintains termination was lawful, meaning Infiniteria’s exclusive right to Enviro’s technology has ceased.

Despite the legal conflict, Enviro reports strong global interest. A North American feasibility study is progressing faster than expected, and licensing dialogues are ongoing with around 10 stakeholders. Enviro remains determined to build long‑term value without the former joint venture’s constraints.

Hankook Tire’s New Film Rewinds Formula E Action To Spotlight EV Tyre Technology

Hankook Tire’s New Film Rewinds Formula E Action To Spotlight EV Tyre Technology

Hankook Tire has released a new brand film titled ‘Formula E Rewind’, inspired by the ABB FIA Formula E World Championship. The company serves as the exclusive tyre supplier for the global all-electric racing series, which is organised by the Fédération Internationale de l’Automobile. The latest cinematic work follows a previous Formula E brand film introduced in April last year.

That earlier production focused on Hankook’s advanced motorsports technologies and research supported by cutting-edge infrastructure. Its high production quality earned a Silver Prize in Sound Design at the Seoul Video Advertising Festival 2025, one of South Korea’s largest advertising awards. The newly unveiled film employs a distinctive rewind visual technique, shifting attention from racing outcomes back to the origin of technology. It emphasises that every race starts with the tyre while promoting the innovative ‘iON’ brand, the world’s first full lineup of electric vehicle tyres.

The film dynamically showcases the next-generation electric racing machine GEN3 Evo, which reaches 322 kilometres per hour and accelerates from zero to 100 kilometres per hour in just 1.86 seconds. It also features the official electric racing tyre ‘iON Race’, delivering a powerful sense of speed. By reconstructing race sequences in reverse, the video creates a fresh narrative that boosts viewer immersion. The slogan ‘Where it all begins’ and a composite logo reinforce Hankook’s positioning as a key Formula E partner.

The brand film will be distributed across Hankook’s owned media platforms, including its global website, YouTube and Instagram, aiming to engage motorsports fans, EV users and future mobility consumers.

Solvay’s Predictive Maintenance Push Gains Speed With Expanded IMI Agreement

Solvay’s Predictive Maintenance Push Gains Speed With Expanded IMI Agreement

Solvay has significantly expanded a global framework agreement with IMI, accelerating the installation of connected industrial sensors throughout its worldwide manufacturing network. Under the extended partnership, IMI remains Solvay’s preferred supplier, with over 5,000 sensors already deployed across 25 sites in 11 countries. The ongoing rollout is enhancing operational reliability and efficiency while simultaneously lowering costs and reducing the company’s environmental impact.

The connected devices, classified as Industrial Internet of Things sensors, continuously monitor vibration and temperature on critical machinery. This real‑time data allows Solvay teams to track asset performance, prevent unexpected breakdowns, and schedule maintenance precisely when needed. The group intends to expand the sensor network to 9,000 units by 2027, reinforcing its shift from traditional time‑based maintenance to a predictive, data‑driven approach.

This sensor initiative is central to Solvay’s Essential for Generations strategy, which prioritizes operational excellence and sustainability. By leveraging real‑time information, the company predicts equipment failures, cuts repair expenses, and limits energy losses and waste. Having scaled from just a few hundred sensors in 2023 to more than 5,000 installed globally, Solvay is building a more resilient and reliable industrial footprint across all regions.

Lanny Duvall, Chief Operations Officer at Solvay, said “Digitalisation is reshaping the way we run our plants. Expanding the use of connected sensors helps us make quicker and better-informed decisions that improve safety, reliability and energy efficiency – while also making our operations more competitive and cost‑effective. It’s a concrete accelerator of the operational excellence transformation we’re driving across Solvay as part of our Essential for Generations strategy.”

Diana Garcia, Global Business Development Manager, Digital Products at IMI, said, “The complexity of modern plant operations, coupled with constant pressure on margins, means the chemical industry cannot rely on manual inspections to ensure maintenance operations are efficient and effective. Our technology provides realtime insights that support Solvays move towards predictive maintenance. We are pleased to deepen this successful collaboration.”

Nexen Tire America Outlines Early-Stage Collaboration As New Standard For OE Tyres

Nexen Tire America Outlines Early-Stage Collaboration As New Standard For OE Tyres

Nexen Tire America has detailed how original equipment tyre development has shifted from a standalone process to an integrated engineering effort conducted alongside new vehicle design. The company explains that modern vehicle complexity, driven by electrification and advanced driver systems, requires tyre engineering to begin in parallel with suspension, chassis and electronic control development. This earlier collaboration allows tyre performance to be optimised for hybrid and electric vehicle demands such as noise reduction, load capacity and rolling resistance.

Aaron Neumann, Head of the Nexen Tire America Technical Center, describes how suppliers must now adopt faster development cycles and deeper technical collaboration. The traditional model of selecting off-the-shelf tyres has been replaced by purpose-built designs tuned to specific safety, handling and efficiency targets. Electric vehicles have added further criteria including range optimisation and tyre noise mitigation.

To manage these demands, Nexen has expanded its use of simulation and modelling technologies. Finite element analysis and data-driven tyre modelling allow engineers to evaluate performance early in the development cycle, reducing the number of physical prototypes required. Despite this digital focus, physical testing remains extensive and includes laboratory procedures such as high-speed endurance, rolling resistance, uniformity, noise and flat-spotting assessments.

On-road validation involves instrumented traction and braking tests, ride and handling evaluations, treadwear analysis and durability testing across varied surfaces and climates. Each tyre’s tread pattern, construction, footprint and profile are refined through iterative testing specific to the target vehicle. While some materials overlap with replacement tyres, original equipment fitments are engineered to balance performance, efficiency and comfort.

Over the past decade, Nexen Tire has more than doubled its original equipment portfolio in North America. This growth is attributed to an engineer-to-engineer collaboration model emphasising transparency and responsiveness. Many technologies developed for original equipment programmes, including advanced compounds and tread designs, are later incorporated into replacement tyres.

For consumers, these behind-the-scenes engineering efforts result in tyres more precisely matched to vehicle performance. Neumann notes that modern tyres rank among the most complex vehicle components, having to deliver safety, efficiency and comfort simultaneously across a wide range of conditions, even if that complexity remains largely invisible to drivers.