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Automotive Industry Adapts to Electric Vehicle Era with Smart Factory Innovations

by Celia

The rise of electric vehicles (EVs) in the automotive market brings about a shift in production demands, prompting automakers to adapt to new manufacturing paradigms. As consumer preferences diversify and EVs gain popularity, the industry is witnessing a transition from traditional low-mix, high-volume production to high-mix, flexible-volume production strategies.

Responding to these evolving demands, automakers are turning towards smart factories equipped with innovative manufacturing platforms, inspired by the Tesla giga casting process. These advanced facilities employ giga presses capable of producing oversized structural components, thereby facilitating lightweighting of vehicles. The utilization of lightweight aluminum castings not only reduces vehicle weight but also enhances fuel efficiency and diminishes greenhouse gas emissions.

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Pedro Pacheco, Vice President of Research at Gartner, foresees a significant cost advantage for EVs over internal combustion engine (ICE) cars by 2027, attributing this shift to lower battery costs and the implementation of new manufacturing processes.

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The adoption of giga presses marks a pivotal moment in the evolution of EV manufacturing, transforming the industry into a “survival of the fittest” landscape, as described by Pacheco, compared to the earlier “gold rush” phase for EV makers.

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Traditionally, automotive companies relied on flow production line systems driven by conveyors, aiming to maximize vehicle output while minimizing manufacturing time and costs. However, the transition to EVs necessitates a departure from conventional production strategies towards more flexible and efficient methodologies.

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Gartner’s projections indicate that by 2027, next-generation battery electric vehicles (BEVs) will surpass ICE vehicles in terms of production cost, signaling a fundamental shift in the automotive landscape.

The introduction of “giga presses” by Tesla has revolutionized vehicle manufacturing, streamlining production processes and reducing labor requirements. These massive casting machines enable the creation of large single-piece underbodies, contributing to enhanced production efficiency. Operating at a velocity of 10 meters per second, with a cycle time of approximately 120 seconds, a giga press can yield up to 30 completed castings per hour, totaling about 500 castings per day across three 8-hour shifts.

By consolidating numerous components into a single module, giga presses simplify manufacturing processes and yield cost savings of up to 40% in certain areas. Pacheco emphasized the transformative impact of this innovation, stating, “We’re reaching this tipping point earlier than expected. Tesla and others have redefined manufacturing in a radical new way,” as reported by Automotive News Europe.

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