WEST LAFAYETTE, Ind. (WLFI) — Experts on Friday issued a stark warning, and hope for the future, to manufacturers in Tippecanoe and surrounding counties.
It happened at a Purdue University conference about the oncoming transition to electric vehicles. The conference was organized by the Dauch Center for the Management of Manufacturing Enterprises.
“I see the EV as a wonderful opportunity,” says Purdue professor and supply chain expert Ananth Iyer.
But for companies on the outside looking in on the electric vehicle transition:
“If they do not transition to other products, that’s when we see them literally having a really tough time with revenues and that we think is the challenge that has to be resolved,” Iyer says.
Iyer was one of many industry experts putting their heads together Friday to find solutions.
“Our focus is on helping these companies change,” he says.
Iyer says more than 500 companies manufacture internal combustion components in Tippecanoe and surrounding counties.
“We found about 130 of those companies make components that’ll no longer be required with the EV,” he says. “That is they make engine components, transmission components, etc. So that’s the worry.”
Among those at the conference were Rick Dauch, CEO of Workhorse, an electric vehicle startup aiming to disrupt the delivery industry.
“It’s not going away over night but it’s going to go down in the next five to ten years,” Dauch says.
North America is projected to transition to electric by 2032. Dauch wants to see batteries and other components for those vehicles made in America rather than overseas.
“I think the people who move quickly and cost effective can be winners. It’s an opportunity to grow your business for the next five or six decades,” he says.
Now it’s up to manufacturers to sink or swim in the oncoming EV wave. Experts say it’s a chance to grow American companies and create high-quality jobs.
“If that happens, there’s a really bright future for the automobile industry,” Iyer says.
Industry officials also discussed a new state law creating an EV product commission. The commission will evaluate the capacity and capability of manufacturers in Indiana.