Here's our latest list of the biggest parts suppliers
Skip to main content
Sister Publication Links
  • Automotive News Canada
  • Automotive News Europe
  • Automotive News China
  • Automobilwoche
AN-LOGO-BLUE
Subscribe
  • Subscribe
  • Account
  • login
  • HOME
  • NEWS
    • Dealers
    • Automakers & Suppliers
    • News by Brand
    • Cars & Concepts
    • Coronavirus Coverage
    • China
    • Shift
    • Mobility Report
    • Special Reports
    • Digital Edition Archive
    • This Week's Issue
    • CarMax
      CarMax plans bonuses for 22,000 employees to reward pandemic efforts
      COVID-19 vaccines reaching auto plants, but challenges remain
      Working online to book COVID shots, office manager Billie Jean Pellet “typed so fast smoke came off the keyboard,” said dealer Earl Stewart.
      Dealership team hunts for vaccine
      Hope stalls for rebound in European auto sales
    • Chinese tech companies are turning their sights on EVs
      Telecom firm ZTE preparing electric vehicle product line
      Changan
      Huawei, battered by U.S. sanctions, plans foray into EVs, report says
      VW China
      Top VW China exec said to eye joining Renault as local CEO
      Geely to create separate EV business unit
    • Udelv CEO offers a historical perspective on high-tech goods delivery
      Q&A with BrightDrop CEO Travis Katz
      Automakers optimize manufacturing, customize products through digitization
      3D-printing a Porsche: Making concepts matter
    • The Cruise AV autonomous vehicle, based on the Chevy Bolt
      GM-backed Cruise is in talks to buy startup Voyage, report says
      Fisker's next wave: A premium people's car
      A worker fixes a power line in Austin, Texas, last month.
      Bidirectional EVs could lend a hand in power crisis
      Toyota banks on plug-ins as rivals push BEVs
    • Elon Musk interview
      Tesla’s Model Y, on sale since March, is a showcase of EV technologies competitors will benchmark.
      Technologies of Electrification
      Cadillac’s Lyriq EV will be unveiled Aug. 6.
      Future Product Pipeline
      A CALL TO ACTION
    • COVID-19 vaccines reaching auto plants, but challenges remain
      Cars parked at a Ford dealership lot
      In SPACs, dealers see viable option to go public
      New-school solution for recruiting auto techs
      Is your dealership a great place to work?
    • Access F&I
    • Fixed Ops Journal
    • Marketing
    • Used Cars
    • Retail Technology
    • Sales
    • Best Practices
    • Dealership Buy/Sell
    • NADA
    • NADA Show
    • Automakers
    • Manufacturing
    • Suppliers
    • Regulations & Safety
    • Executives
    • Talk From The Top
    • Leading Women Network
    • Guide to Economic Development
    • PACE Awards
    • Management Briefing Seminars
    • World Congress
    • Aston Martin
    • BMW
      • Mini
      • Rolls-Royce
    • Daimler
      • Mercedes Benz
      • Smart
    • Ford
      • Lincoln
    • General Motors
      • Buick
      • Cadillac
      • Chevrolet
      • GMC
    • Honda
      • Acura
    • Hyundai
      • Genesis
      • Kia
    • Mazda
    • McLaren
    • Mitsubishi
    • Nissan
      • Infiniti
    • Stellantis
      • Alfa Romeo
      • Citroen
      • Chrysler
      • Dodge
      • Ferrari
      • Fiat
      • Jeep
      • Lancia
      • Maserati
      • Opel
      • Peugeot
      • Ram
      • Vauxhall
    • Renault
    • Subaru
    • Suzuki
    • Tata
      • Jaguar
      • Land Rover
    • Tesla
    • Toyota
      • Lexus
    • Volkswagen
      • Audi
      • Bentley
      • Bugatti
      • Lamborghini
      • Porsche
      • Seat
      • Skoda
    • Volvo
    • (Discontinued Brands)
    • Virtual reveals (Sponsored)
      • MITSUBISHI: 2022 Outlander
      • NISSAN: 2022 Pathfinder and 2022 Frontier
      • GENESIS: 2021 GV80
      • KIA: 2021 K5
      • LEXUS: 2021 IS
      • NISSAN: 2021 Rogue
      • TOYOTA: 2021 Venza and 2021 Sienna
    • Auto Shows
    • Future Product Pipeline
    • Photo Galleries
    • Car Cutaways
    • Design
  • OPINION
    • Blogs
    • Cartoons
    • Keith Crain
    • Automotive Views with Jason Stein
    • Columnists
    • China Commentary
    • Editorials
    • Letters to the Editor
    • Send us a Letter
    • The new Stellantis pickup: Schrödinger's Dakota
      Fisker gets a rare second chance to build his own car company
      Gerry McGovern is right man to steer Jaguar reinvention
      Forget the Ford GT; Moray Callum's biggest hit is the aluminum F-150
    • Jaguar is about to undergo its fourth reinvention in five decades as owner Tata Group takes a second crack at shaking up a brand whose glorious past has rarely translated into a profitable present or sustainable future.
      Jaguar Redo, Part IV
      view gallery
      1 photos
      Chip Shortage
      Jaguar is about to undergo its fourth reinvention in five decades as owner Tata Group takes a second crack at shaking up a brand whose glorious past has rarely translated into a profitable present or sustainable future.
      view gallery
      9 photos
      Leo Michael Cartoons - Q1 2021
      Dealers hiring from hospitality sector
      view gallery
      1 photos
      Hospitality Hires
    • Shifting gears away from the stick shift
      SEMA still a wonderful circus
      Penske still has plenty of races to win
      Ford's turn in the hot seat
    • March 2, 2021 | Will EV bets pay off?
      February 23, 2021 | Reliability continues to soar
      February 16, 2021 | Apple looks to take bite out of automotive
      February 9, 2021 | ‘Super’ opportunity for automakers
    • Reinvention of Jaguar is a tall task for McGovern
      Jamie Butters
      EV plans and some damn lies
      Mark Paul
      What dealers can do if D.C. power shift affects recalls
      Are we in the midst of a fourth industrial revolution?
    • Shanghai hints at how Chinese cities will pursue electrification
      How Tesla, GM transformed EV market in 2020
      Is sales recovery nearing an end?
      Beijing's uphill battle to boost EV sales
    • U.S. Dealership lot
      Lean lots won't last without new dealer discipline
      Taiwan Semicon microchips BB web.jpg
      Chip shortage shows need for new thinking
      Digital demands squeeze smaller auto retailers
      President Joe Biden’s move to electrify all government vehicles could push forward charging infrastructure development.
      Dealers aren't wrong to be wary of EV hype
    • New look at Nissan a positive sign
      Embrace EV ideas at our doorstep
      Dealers are right to worry about EVs
      Buying EV without dealer is just easier
  • DATA CENTER
  • VIDEO
    • AutoNews Now
    • First Shift
    • Special Video Reports
    • Weekend Drive
    • AutoNews Now: Chip woes persist: GM extending output cuts
      AutoNews Now: Toyota, Mazda, Subaru, Hyundai, Kia slide in Feb.; Volvo, Genesis rise
      AutoNews Now: Toyota RAV4 probed for fire risk
      AutoNews Now: Nissan 'breakthrough' could lower emissions
    • First Shift: GM, LG Chem mull second U.S. battery plant
      First Shift: Stellantis aims for higher profit margins in 2021
      First Shift: Volvo's electric push includes online-only sales
      First Shift: U.S. dealership profits surge 48% to record high
    • Bert Ogden Auto Group
      Back to basics: How a Texas group is cutting costs, saving millions 
      COVID, chips and checks: Sales headwinds and tailwinds for 2021
      N.J. dealer helps position peers for ‘electric revolution’
      DCH Millburn Audi
      'Finding the diamond in the rough': How 2020's No. 1 dealership retains talent
    • Why the pickup is the auto industry's 'battleground'
      Carlos Ghosn's quest to restore his reputation
      Why Ford must execute to avoid 'deep trouble'
      Why Honda is 'locked and loaded' for 2020
  • EVENTS & AWARDS
    • Events
    • Awards
    • Congress Conversations
    • Retail Forum: NADA
    • Canada Congress
    • Europe Congress Conversations
    • Leading Women Conference
    • Fixed Ops Journal Forum
    • ANE Shift
    • Shift: Mobility at a Crossroads
    • Shift: The Future of Mobility (CES)
    • 100 Leading Women
    • 40 Under 40 Retail
    • All-Stars
    • Best Dealerships To Work For
    • PACE Program
    • Rising Stars
    • Europe Rising Stars
  • JOBS
  • AN Solutions
  • +MORE
    • Leading Women Network
    • Podcasts
    • Webinars
    • In the Driver's Seat
    • Publishing Partners
    • Classifieds
    • Companies on the Move
    • People on the Move
    • Newsletters
    • Contact Us
    • Media Kit
    • RSS Feeds
    • Shift: A Podcast About Mobility
    • Special Reports Podcasts
    • Daily Drive Podcasts
    • AAM
    • DealerPolicy
    • Gentex
    • Reputation.com
    • Ricardo
    • Ricardo
    • Allstate: Want more from your F&I?
    • Ally: Navigating the future of automotive retailing
    • Amazon Web Services: Any place, any time, any channel
    • Amazon Web Services: The power of the cloud
    • Amazon Web Services: Universal translator: Harnessing sensor data to build better automotive software
    • Epic Games: Transforming the auto industry with digital assets
    • FTI Consulting: Crisis as a catalyst for change
    • Google: 5 trends shaping the auto industry's approach to a new normal
    • IHS Markit: Automotive loyalty in the wake of the COVID-19 recession
    • IHS Markit: Autonomous vehicles: Automotive and transportation disruption
    • IHS Markit: COVID-19: The future mobility delusion
    • Level5: 2020 Automotive E-Commerce Report
    • Naked Lime: Bring social reputation together as part of big-picture marketing
    • Wells Fargo Auto: Switching gears from LIBOR to SOFR
    • Ally: Do It Right
    • DealerSocket
    • Deloitte: Cyber everywhere: Preparing for automotive safety in the face of cyber threats
    • Facebook: The road to a zero-friction future
    • Guide To Economic Development
    • PayPal Credit: How consumer financing helps drive sales for online auto parts retailers
MENU
Breadcrumb
  1. Home
  2. Suppliers
June 24, 2019 12:00 AM

Here's our latest list of the biggest parts suppliers

Who else can afford the cost of new technologies?

Lindsay Chappell
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    The supplier world is rushing into new technologies to deliver the grand vision of the auto industry - widespread electrified powertrains and advanced safety and convenience technologies that will allow vehicles to steer, accelerate and brake themselves.

    But that transformation isn't having any noticeable effect on the global pecking order of the industry's biggest parts companies.

    Not yet, at least.

    2020 supplier list

    Click here to read our Top Suppliers supplement.

    To be considered for Automotive News’ 2020 top suppliers list, submit the following information by Dec. 31 to [email protected].

    • Company name and address
    • Contact name, title, phone number and email address

    A survey will be emailed to the contact in March.

    The annual Automotive News ranking of the top global suppliers reveals that as the industry's main players build revenue, transform and change direction, they remain in much the same order of size as they were a year ago.

    Bosch, Denso, Magna, Continental and ZF Friedrichshafen remain the world's five biggest suppliers, in the same order on the Automotive News list as a year ago. Only two of the top 10 - Valeo and Faurecia - changed rankings last year. They swapped positions on the list, with Faurecia No. 9 and Valeo No. 10.

    The main reason suppliers, for the most part, are keeping their spots as the biggest of the big? Wealth.

    The cost of playing in the game has gone up in the past few years, and only the biggest and richest can afford the rising costs of acquiring the technologies that will make the industry's vision become a reality.

    "You can't buy anything related to autonomous vehicle software technology now that's not in the billions of dollars," said Dietmar Ostermann, U.S. automotive advisory leader at PwC, which tracks global automotive merger and acquisition activity globally. "So if you want to be in the autonomous game, the size of your company matters massively."

    Mergers and acquisitions have roiled the segment as suppliers jockey for a seat at the table to come.

    Ostermann admits to being astonished at the amount of money that technology vendors are selling for in the world market, as big suppliers add to their portfolios. According to PwC, the combined value of supplier mergers and acquisitions has nearly tripled from a decade ago. It averaged around $20 billion a year for 10 years, Ostermann said. From 2014-17, it averaged about $50 billion to $60 billion, before jumping to  a record $97.5 billion last year.

    "Technology is the dominating factor in supplier strategy," he said. "A few years ago, suppliers were on an M&A drive because automakers were moving to global platforms with global architectures, and suppliers needed to quickly merge and create more global capabilities to supply in all regions.

    "The real need now is to be able to support electric vehicles, connected cars and autonomous driving."

    The desire to beef up with connectivity and autonomous capabilities has triggered acquisitions for software companies and electronics innovators, small and large, in and out of the traditional car business.

    Last year, there were 20 deals each worth more than $1 billion - twice the level of activity of the past three years. The sector recorded 903 merger-acquisitions during the year. Among those that reported a deal value, the average size was $286.8 million.

    The quest for more technology is also focused on older auto parts. Even as EVs rise on the horizon, automakers are asking suppliers to help make internal combustion engines more competitive, smaller and lighter, requiring turbocharging and direct injection. The same lightweighting effort is driving opportunity among steel, aluminum and composite material suppliers.

    Top 10 North American suppliers
    Ranked by 2018 original-equipment parts sales to automakers in North America
    Supplier (2017 rank) Sales in billions
    1. Magna International Inc. -1 $20.41
    2. Continental Automotive Systems U.S. Inc. -4 $10.59†
    3. ZF North America Inc. -2 $10.34†
    4. Denso International America Inc. -3 $9.8†*
    5. Robert Bosch -6 $8.42†
    6. Lear Corp. -5 $7.61
    7. Flex-N-Gate Corp. -7 $6.67
    8. Panasonic Automotive Systems Co. of America -13 $5.94†
    9. Aisin World Corp. of America -8 $5.85†
    10. American Axle & Manufacturing Holdings Inc. -10 $5.67
    †Fiscal Year *Estimate
    Where are the results?

    Companies are questioning their past business segments and repositioning themselves for new roles through mergers, investments, divestitures and corporate restructurings - even if the technology revolution has not kicked in yet.

    The expected revenue of that big future is little more than a trickle, compared with the still-robust demand for good old-fashioned brake pedals, pistons, fuel tanks, lead-acid batteries, transmissions and pickup bed liners.

    But change is occurring nonetheless, and familiar names are disappearing from the list of giants as suppliers carve out new visions for their futures.

    Delphi Automotive, a company that once towered as the industry's biggest supplier under various corporate names, making parts as disparate as air conditioners, brakes and radios, now appears on the list of giants as Aptiv at No. 20. Aptiv plans to focus on electronic architectures and advanced safety. The spun-off part of the old Delphi - now named Delphi Technologies - will compete in the powertrain corner of the industry. It ranks No. 62.

    Johnson Controls, once a star supplier of seating, interiors and batteries, has divided into separate companies - No. 13 Adient, with an eye on seats for the autonomous age; and Clarios, focused exclusively on the future of batteries. Clarios did not submit a completed survey for this year's list.

    Axle and transmission maker ZF, No. 5 on the list, grew mightier last year as a result of its 2015 acquisition of American safety systems supplier TRW.

    And Japan's Panasonic Corp., ranked No. 12, reported a 33 percent growth in revenue last year, thanks in part to its acquisition of the majority ownership of Ficosa, the fast-growing Spanish supplier of cables, mirrors and other parts.

    Top 10 global suppliers
    Ranked by 2018 original-equipment parts sales to automakers worldwide
    Supplier (2017 rank) Sales in billions
    1. Robert Bosch -1 $49.53†
    2. Denso Corp. -2 $42.79†*
    3. Magna International Inc. -3 $40.83
    4. Continental -4 $37.80†
    5. ZF Friedrichshafen -5 $36.93†
    6. Aisin Seiki Co. -6 $35†
    7. Hyundai Mobis -7 $25.62
    8. Lear Corp. -8 $21.15
    9. Faurecia -10 $20.67
    10. Valeo -9 $19.68†
    †Fiscal Year *Estimate
    When is the payback?

    The question hanging over the heads of supplier executives: When will the new order of electrification, connectivity and autonomous driving begin delivering revenue and profit on a par with the cost of restructurings, acquisitions and development investment?

    Significant financial payback could be another decade away, according to several forecasts.

    Although automakers ranging from Volkswagen to Toyota are rapidly developing electrified vehicle portfolios, most forecasts conclude that it will take until at least late in the next decade before electrified vehicles equal those powered by internal combustion engines in terms of global unit sales.

    And while lower-level autonomous driving technologies are spilling into the marketplace - visible in Nissan, Cadillac, Tesla, Honda, Volvo and Mercedes-Benz vehicles - the new science remains a distant source of dominant supplier wealth. Automakers are still vague about when and where fully autonomous vehicles will appear in the market.

    Until then, said Daron Gifford, strategy and automotive consulting leader at Plante Moran in Detroit, large suppliers will have to sort out the daily challenges of the auto business the same as small suppliers. Those include delivering flawless parts to customers on time, running their factories efficiently and meeting the cost reduction demands of automakers' purchasing managers.

    Automakers make little distinction between large suppliers and small, Gifford said.

    "Being a big guy can be helpful, maybe in being able to drive down your own costs, or in being able to drive innovation at your business," he said.

    "But whether you're big or small, you face the same issues."

    RECOMMENDED FOR YOU
    U.S. will review impact of SK Innovation ruling on Biden green transportation goals
    Letter
    to the
    Editor

     

     

    Send us a letter

    Have an opinion about this story? Click here to submit a Letter to the Editor, and we may publish it in print.

    Recommended for You
    U.S. will review impact of SK Innovation ruling on Biden green transportation goals
    U.S. will review impact of SK Innovation ruling on Biden green transportation goals
    Dana acquires electronics and software provider Pi Innovo
    Dana acquires electronics and software provider Pi Innovo
    Major hydrogen fuel cell factory coming to suburban Chicago
    Major hydrogen fuel cell factory coming to suburban Chicago
    Sponsored Content: Google Reviews 101
    Sign up for free newsletters
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    See more newsletter options at autonews.com/newsletters.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    Digital Edition
    Automotive News 3-1-21
    THIS WEEK'S EDITION
    See our archive
    Fixed Ops Journal
    Fixed Ops Journal 2-8-21
    Read the issue
    See our archive
    Get Free Newsletters

    Sign up and get the best of Automotive News delivered straight to your email inbox, free of charge. Choose your news – we will deliver.

    Subscribe Today

    Get 24/7 access to in-depth, authoritative coverage of the auto industry from a global team of reporters and editors covering the news that’s vital to your business.

    Subscribe Now
    Connect With Us
    • Facebook
    • Instagram
    • LinkedIn
    • Twitter

    Our mission

    The Automotive News mission is to be the primary source of industry news, data and understanding for the industry's decision-makers interested in North America.

    AN-LOGO-BLUE
    Contact Us

    1155 Gratiot Avenue
    Detroit, Michigan
    48207-2997

    (877) 812-1584

    Email us

    Automotive News
    ISSN 0005-1551 (print)
    ISSN 1557-7686 (online)

    Fixed Ops Journal
    ISSN 2576-1064 (print)
    ISSN 2576-1072 (online)

    Resources
    • About us
    • Contact Us
    • Media Kit
    • Subscribe
    • Manage your account
    • Reprints
    • Ad Choices Ad Choices
    • Sitemap
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Automotive News
    Copyright © 1996-2021. Crain Communications, Inc. All Rights Reserved.
    • HOME
    • NEWS
      • Dealers
        • Access F&I
        • Fixed Ops Journal
        • Marketing
        • Used Cars
        • Retail Technology
        • Sales
        • Best Practices
        • Dealership Buy/Sell
        • NADA
        • NADA Show
      • Automakers & Suppliers
        • Automakers
        • Manufacturing
        • Suppliers
        • Regulations & Safety
        • Executives
        • Talk From The Top
        • Leading Women Network
        • Guide to Economic Development
        • PACE Awards
        • Management Briefing Seminars
        • World Congress
      • News by Brand
        • Aston Martin
        • BMW
          • Mini
          • Rolls-Royce
        • Daimler
          • Mercedes Benz
          • Smart
        • Ford
          • Lincoln
        • General Motors
          • Buick
          • Cadillac
          • Chevrolet
          • GMC
        • Honda
          • Acura
        • Hyundai
          • Genesis
          • Kia
        • Mazda
        • McLaren
        • Mitsubishi
        • Nissan
          • Infiniti
        • Stellantis
          • Alfa Romeo
          • Citroen
          • Chrysler
          • Dodge
          • Ferrari
          • Fiat
          • Jeep
          • Lancia
          • Maserati
          • Opel
          • Peugeot
          • Ram
          • Vauxhall
        • Renault
        • Subaru
        • Suzuki
        • Tata
          • Jaguar
          • Land Rover
        • Tesla
        • Toyota
          • Lexus
        • Volkswagen
          • Audi
          • Bentley
          • Bugatti
          • Lamborghini
          • Porsche
          • Seat
          • Skoda
        • Volvo
        • (Discontinued Brands)
      • Cars & Concepts
        • Virtual reveals (Sponsored)
          • MITSUBISHI: 2022 Outlander
          • NISSAN: 2022 Pathfinder and 2022 Frontier
          • GENESIS: 2021 GV80
          • KIA: 2021 K5
          • LEXUS: 2021 IS
          • NISSAN: 2021 Rogue
          • TOYOTA: 2021 Venza and 2021 Sienna
        • Auto Shows
        • Future Product Pipeline
        • Photo Galleries
        • Car Cutaways
        • Design
      • Coronavirus Coverage
      • China
      • Shift
      • Mobility Report
      • Special Reports
      • Digital Edition Archive
      • This Week's Issue
    • OPINION
      • Blogs
      • Cartoons
      • Keith Crain
      • Automotive Views with Jason Stein
      • Columnists
      • China Commentary
      • Editorials
      • Letters to the Editor
      • Send us a Letter
    • DATA CENTER
    • VIDEO
      • AutoNews Now
      • First Shift
      • Special Video Reports
      • Weekend Drive
    • EVENTS & AWARDS
      • Events
        • Congress Conversations
        • Retail Forum: NADA
        • Canada Congress
        • Europe Congress Conversations
        • Leading Women Conference
        • Fixed Ops Journal Forum
        • ANE Shift
        • Shift: Mobility at a Crossroads
        • Shift: The Future of Mobility (CES)
      • Awards
        • 100 Leading Women
        • 40 Under 40 Retail
        • All-Stars
        • Best Dealerships To Work For
        • PACE Program
        • Rising Stars
        • Europe Rising Stars
    • JOBS
    • AN Solutions
    • +MORE
      • Leading Women Network
      • Podcasts
        • Shift: A Podcast About Mobility
        • Special Reports Podcasts
        • Daily Drive Podcasts
      • Webinars
      • In the Driver's Seat
        • AAM
        • DealerPolicy
        • Gentex
        • Reputation.com
        • Ricardo
        • Ricardo
      • Publishing Partners
        • Allstate: Want more from your F&I?
        • Ally: Navigating the future of automotive retailing
        • Amazon Web Services: Any place, any time, any channel
        • Amazon Web Services: The power of the cloud
        • Amazon Web Services: Universal translator: Harnessing sensor data to build better automotive software
        • Epic Games: Transforming the auto industry with digital assets
        • FTI Consulting: Crisis as a catalyst for change
        • Google: 5 trends shaping the auto industry's approach to a new normal
        • IHS Markit: Automotive loyalty in the wake of the COVID-19 recession
        • IHS Markit: Autonomous vehicles: Automotive and transportation disruption
        • IHS Markit: COVID-19: The future mobility delusion
        • Level5: 2020 Automotive E-Commerce Report
        • Naked Lime: Bring social reputation together as part of big-picture marketing
        • Wells Fargo Auto: Switching gears from LIBOR to SOFR
        • Ally: Do It Right
        • DealerSocket
        • Deloitte: Cyber everywhere: Preparing for automotive safety in the face of cyber threats
        • Facebook: The road to a zero-friction future
        • Guide To Economic Development
        • PayPal Credit: How consumer financing helps drive sales for online auto parts retailers
      • Classifieds
      • Companies on the Move
      • People on the Move
      • Newsletters
      • Contact Us
      • Media Kit
      • RSS Feeds