“Just‐in‐Time” Production and the European Automotive Components Industry

The market and political conditions facing Japanese investment in automobile assembly in Western Europe are wholly different from those in North America. Argues in consequence that a distinctive set of questions is necessary in order to evaluate the likely consequences of such investment for the components sector. Within Western Europe, the “indigenous” automotive components industry has begun a process of restructuring, enabling it to face new demands of production and delivery characterized as “Just‐in‐Time”. Rather than relocate close to new vehicle assembly plants, creating spatially‐clustered production complexes, as some have suggested, a favoured solution has instead typically involved changes to logistical operations, enabling JIT delivery from existing Europe‐wide production systems. Outlines the reasons for this response and assesses some of its implications.