Q&A with SABIC (automotive unit of SABIC’s petrochemicals business)

Q&A with SABIC (automotive unit of SABIC’s petrochemicals business)

JA: 2021 was one more unforgettable calendar year for everybody and for all types of explanations. We experienced a bumpy recovery from the worst of the Covid pandemic, but the automotive sector was also hammered by a shortage of semiconductor pieces. In your small business, what stand out as the biggest troubles you faced this year?

AR: A single of the most important difficulties was need variability throughout the yr with several OEM creation slowdowns and ramp ups. We worked carefully with our shoppers and exercised the flexibility we could to make certain we had been in a situation to meet their demands. Raw substance availability difficulties and logistical constraints, with an unprecedented variety of force majeure bulletins from suppliers, exacerbated the circumstance. We are very grateful to the many individuals from throughout the value chain who did their element to help the market navigate via these disruptions.

JA: Any large spots or certain successes you’d like to share?

AR: In a time of uncertainty with the difficulties presently pointed out, it is significant that the field be equipped to do the job with each other. We mostly did that, thanks generally to apparent and clear interaction with our customers and suppliers. We take pleasure in everyone’s professionalism, resilience and determination.

A second large spot is the momentum we have designed in some new locations of option for us and our clients. As a person example, our workforce has manufactured significant inroads with our clients and their suppliers on advancing plastic alternatives for EV battery packs. We are really energized about the price that we can produce to the market in this crucial region. Materials from our portfolio, which includes flame retardant plastics these types of as STAMAX extensive glass fiber polypropylene resin and SABIC PPcompound, can likely be game changers and enablers in the progress of following generation EV battery packs, supporting extended range and enhanced general effectiveness.

JA: How are you experience about 2022 – both equally in conditions of company prospects and much more normally?

AR: We are optimistically inclined, so we undoubtedly glimpse ahead to greater balance and but another total year of options to help our prospects. With that claimed, and based on the outlook at this second, the industry can expect to practical experience further more variability in OEM generation, and this will effects the total benefit chain. We also require to continue adapting in how we appear together, just about and bodily, until finally we can return much more carefully to how we operated right before the pandemic. Our groups are committed to function intently with the market to get over these worries.

JA: Is everything emerging as a unique worry in terms of the outlook?

AR: Hunting forward, customer demand from customers seems potent. This can bode properly for foreseeable future manufacturing. Having said that, as mentioned, we can probable expect to see continued variability in production for the reason that of the ongoing chip scarcity and supply concerns. This can have a harmful affect on the supply base. We can all agree that we need to have a provide chain healthy sufficient to continue providing all the material uncovered in a car. To do that, we would gain from more proactive collaboration between OEMs and suppliers to improved handle and tackle some of these difficulties.

JA: Do you have a information for Just Auto’s viewers?

AR: We can be certain that 2022 will deliver extra troubles and alter. With that mentioned, we as an marketplace have verified how resilient, adaptable and creative we can be. People characteristics will see us through, and I know our automotive team at SABIC is established to do our aspect. We definitely have reasons to be optimistic. Innovation in our business is balanced and ongoing. The change to electrification is accelerating and opening up new alternatives for lots of. Creating motor vehicles that have significantly less influence on the world is a mission increasingly embraced by all actors across the value chain. We are fired up to be component of this seismic transformation with all people in the coming several years, understanding that the perform we are carrying out with each other is certainly satisfying a better purpose for the earth.

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