b'30American Journal ofTransportation ajot.comGlobalFoundries and GM announceAUTO LOGISTICS 2023 supply agreement for production of semiconductor chipsGeneral Motors Co. (GM)DougParks,GMexecutive andGlobalFoundries(GF)vice president of Global Prod-onFebruary9thastrategic,uctDevelopment,Purchas-long-termagreementestab- ing and Supply Chain. The lishingadedicatedcapac- supplyagreementwithGlo-itycorridorexclusivelyforbalFoundries will help estab-GMs chip supply.Throughlish a strong, resilient supply thisfirst-of-its-kindagree- ofcriticaltechnologyinthe ment,GFwillmanufactureU.S. that will help GM meet for GMs key chip suppliersthis demand, while delivering atGFsadvancedsemicon- new technology and features ductor facility in upstate Newto our customers.York bringing a critical pro- At GF we are committed cess to the U.S. to working with our customers Thisagreementsupportsin new and innovative ways to GMsstrategytoreducethebest address the challenges of Tesla emerged as a major exporter from its factory in Shanghai starting last year. number of unique chips neededtodays global supply chains, topowerincreasinglycom- saidDr.ThomasCaulfield, 2023The year of the auto industry comeback? plex and tech-laden vehicles.president,andCEOofGF. With this strategy, chips canGFwillexpanditsproduc-Is 2023 the Comeback Year for the Auto Industry? Is it the real deal or a post- beproducedinhighervol- tion capabilities exclusively for pandemic teaser?umesandareexpectedtoGMssupplychain,enabling offerbetterqualityandpre- us to strengthen our partnership By George Lauriat, AJOTdictability,maximizinghighwiththeautomotiveindustry value content creation for theand New York State.Is2023therealComeback Yearfortheprices for autos in 2022which left U.S. carend customer. GF is responding to the global global auto industry? Or is this year simply adealerships awash in much needed cashtheSemiconductorsarethedemandforsemiconductors teasera year of unfulfilled promise.question lingered over the sales recovery, wasfoundationofthetechnolo- throughaseriesofstrategic WiththeCOVID-19pandemicslock- this thereal deal or simply a post-pandemicgiesthatarepoweringthelong-termagreementswith downs and the idling of auto plants, 2020 wasconsumer buying spree? electrification,autonomousexistingandnewcustomers the Lost Year for the auto industry. The fol- Afterall,over17millionlightvehiclesdriving,andconnectivityofandsimultaneouslyexpand-lowingyear,withthepandemicsimpactswere sold in the U.S. in 2017, 2018 and 2019theautoindustry,andtheying global capacity to meet cus-lessening,andtheautoplantsaroundthecompared to the surge of 13.4 million unitshave been center stage in thetomerdemandinpartnership globe returning to production, auto sales againin the 2022 rebound. And it isnt a questionglobal chip shortage that haswith federal and local govern-ramped up. And the auto sales built into Tsu- solely being asked in the U.S. In Europe inimpacted automakers the lastments. Supportive policies like nami 2022, as pent up consumer demand drove2019 auto sales tallied 15.66 million units andcouple of years. the bipartisan CHIPS and Sci-uppricesbothfornewandusedvehicles.only 10.15 million units in 2022, the lowestWe see our semiconduc- ence Actareencouragingthe Throughout 2022 global automakers struggledsince 1993. torrequirementsmorethanonshoringofsemiconductor to maintain inventory to keep up with the surgeSo,isthisthebeginningofareturntodoublingoverthenextsev- productionandreestablishing in demand.normalfortheglobalautoindustryoreral years as vehicles becomethe U.S. as a global leader of Still,evenwithhistorichighaverage(COMEBACKcontinued on page 31) technologyplatforms,saidthis critical technology. CHANGECHANNELYOURMove cargo more efficiently. Scale operations for future growth.Big changes are happening. The Freeport Harbor Channel will soon be the deepest in Texas with a new modernized berth and cranes to welcome larger vessels and over 500 acres of land available for development.Its time to change your channel.1.800.362.5743 | PortFreeport.com'