COVID-19 has created a sudden dramatic need for ventilators in the heathcare system. Considering the number of cases arising around the world, current ventilator supply is simply not sufficient to cover the number of predicted cases.
It has been suggested that automakers could step in and repurpose their factories and supply chains to produce additional ventilators, but how realistic is that plan?
Go deeper with GlobalData
President Trump claimed to have given the go ahead to Ford, General Motors and Tesla to begin building ventilators, but none are in a position to do so and, even if they were, they would not require the President’s permission.
However, OEMs may not be the best-placed companies in the automotive industry to manufacture ventilators because they predominantly focus on the final assembly of vehicles while the detailed manufacture of components is typically handled by an extensive network of suppliers.
History reminds us that automakers have rapidly repurposed factories before – building tanks, planes and munitions during World War Two – but this lesson does not apply to COVID-19. Machines of war use similar components and production methods to vehicles, but ventilators are a very different discipline.
They require many complex, intricate parts with few similarities to anything automakers currently assemble, and must be built in sterile facilities to prevent contamination.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataThat does not mean automakers cannot do anything to help, however. Their strengths may not be in the manufacture of intricate, sterile components, but they have skills in managing extensive supply chains, which could be used to help existing ventilator manufacturers ramp up production.
General Motors has already confirmed that it is working with Ventec Life Systems to aid with logistics, purchasing and manufacturing, but fell short of stating that it would make ventilators at its facilities.
Elsewhere, Ford has announced it will work with material supplier 3M and GE Healthcare to ramp up ventilator production and is using its 3D printers to produce disposable respirators for healthcare workers. Tesla, BorgWarner and Magna have all also stated they are looking to help.
Nevertheless, it will take months for automakers to pivot to making ventilators. Other auto companies may be better placed to step up to the challenge of producing the components. Suppliers and motorsport companies are used to specialised production processes, and to rapid retooling for different products.
For example, British motorsport specialist Prodrive has said it is capable of making ventilator components – it has clean facilities and extensive fabrication capabilities thanks to its day job of producing custom parts for motorsports. Formula 1 teams, that also handle a lot of specialised, low-volume fabrication, are also looking into offering their services to manufacture ventilators.
