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"Material Challenges Facing the Automotive and Steel Industries from Globalization"

Curt D. HorvathTechnical Fellow

General Motors Corporation

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Globalization

• Producing very large “Global Powerhouses”• Leveraging global resources to improve

efficiency

• Global sharing of products

The Global Automotive Industry

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GM’s Global Footprint

CANADATrucks & Cars

USATrucks & Cars

MEXICOTrucks and Cars

VENEZUELATrucks

ColumbiaTrucks

ECUADORTrucks and Cars

BRAZILTrucks and Cars

CHILETrucks

ArgentinaTrucks

PORTUGALCars

SPAIN Cars

U.K. Trucks & Cars

BELGIUM Cars

SWEEDEN Cars

SAAB

GERMANY Cars

POLAND Cars

HUNGARY Cars

TURKEY Cars

RUSSIA Trucks

JAPAN IZUZU

TRUCKSCHINA Cars

TAIWAN Cars

THAILANDCars

AUSTRALIA Holden Cars

INDONESIA Cars & Trucks

• Assembly Locations in Over 32 Countries• Products Sold in 170 Countries

• Annual Volume of 9.1 Million Vehicles

Willow Run, MI

Willow Run, MI

Bay City, MIBay City, MI

Tonawanda, NY

Tonawanda, NY

Toluca, Mexico 1&2

Toluca, Mexico 1&2

Defiance, OH

Defiance, OH

Sao José, BrazilSao José, Brazil

Port Melbourne, Australia

Port Melbourne, Australia

Shanghai, China

Shanghai, China

Fredericksburg, VA

Fredericksburg, VA

Lansing Metal, MILansing Metal, MI

Doraville, GADoraville, GA

Pittsburgh, PAPittsburgh, PA

Silao, MexicoSilao, Mexico

MassenaMassena

Sao Caetano do Sul, Brasil

Sao Caetano do Sul, Brasil

GM South Africa 1GM South Africa 1

Saab, Trollhattan, SwedenSaab, Trollhattan, Sweden

Bochum, GermanyBochum, Germany

Elizabeth, Australia

Elizabeth, Australia

Rayong, Thailand

Rayong, Thailand

Elizabeth, South AustraliaElizabeth, South Australia

Halol, IndiaHalol, India

Bekasi Indonesia*Bekasi Indonesia*Rayong, ThailandRayong, Thailand

Antwerp, BelgiumAntwerp, Belgium

Eisenach, GermanyEisenach, Germany

Trollhattan, Sweden

Trollhattan, Sweden

Ellesmere Port, UK

Ellesmere Port, UK

Kaiserslautern, Germany

Kaiserslautern, Germany

Russelsheim, GermanyRusselsheim, Germany

Aspern, Australia

Aspern, Australia

Biala (Bielsko), Poland

Biala (Bielsko), Poland

Gliwice, PolandGliwice, Poland

Sao Caetano do Sul, BrazilSao Caetano do Sul, Brazil

Sao Jose dos Campos, Brazil

Sao Jose dos Campos, BrazilRosario, ArgentinaRosario, Argentina

Arica, Chile*Arica, Chile*

Quito, Ecuador*

Quito, Ecuador*

Bogota, Colombia*

Bogota, Colombia*

Valencia, Venezuela*

Valencia, Venezuela*

AMT South Lyon, MIAMT South Lyon, MI

Indianapolis, INIndianapolis, IN

Arlington, TXArlington, TX

Ramos Arizpe 1 & 2, MexRamos Arizpe 1 & 2, Mex

Baltimore, MDBaltimore, MD

Bowling Green, KYBowling Green, KY

Doraville, GADoraville, GA

Ramos Arizpe, Mexico

Ramos Arizpe, Mexico

Shreveport, LAShreveport, LA

Spring Hill, TNSpring Hill, TN

Shreveport, LA

Shreveport, LA

Silao, MexSilao, Mex

Linden, NJLinden, NJToledo, OH

1&2Toledo, OH

1&2

Wilmington, DEWilmington, DEMoraine, OH -JV

Moraine, OH -JV

Lordstown, OHLordstown, OH

Mansfield, OH

Mansfield, OH

Moraine, OHMoraine, OH

Pontiac, MIPontiac, MI

Orion, MIOrion, MI

Lansing M, MILansing M, MI

Saginaw , MI 1&2Saginaw , MI 1&2

Flint, MIFlint, MI

Grand Blanc, MIGrand Blanc, MI

Janesville 1 & 3, WIJanesville 1 & 3, WI

Wentzville, MOWentzville, MO

Oklahoma City, OKOklahoma City, OK

BedfordBedford

Parma, OHParma, OH

Fort Wayne, INFort Wayne, IN

CAMI-Ingersol, ONT

CAMI-Ingersol, ONT

NUMMI-Fremont, CANUMMI-Fremont, CA

Oshawa Truck, ONTOshawa Truck, ONT

Oshawa 1 & 2, OntOshawa 1 & 2, Ont

Lansing Craft Center, MILansing Craft Center, MI

Lordstown, OHLordstown, OH

Nairobi, Kenya -CKD

Nairobi, Kenya -CKD

Lagos, Nigeria -CKD

Lagos, Nigeria -CKD

CJSC, Zaporoche, UkraineCJSC, Zaporoche, Ukraine

IBC, Luton, UKIBC, Luton, UK

Tychy – ISPOL, Poland

Tychy – ISPOL, Poland

Szentgotthard, Hungary

Szentgotthard, Hungary

AvtoVAZ, Togliatti, RussiaAvtoVAZ, Togliatti, Russia

Qingdao, China

Qingdao, China

Azambuja, Portugal

Azambuja, Portugal Shanghai N&S,

ChinaShanghai N&S,

China

Changwon, S. Korea

Changwon, S. Korea

Gunsan, S. KoreaGunsan, S. Korea

Hanoi, Vietnam

Hanoi, Vietnam

Liuzhou, China

Liuzhou, China

Shanghai, China

Shanghai, China

Ramos Arizpe, Mexico

Ramos Arizpe, Mexico

Wentzville, MOWentzville, MO

Mishawaka, INMishawaka, IN

Fairfax, KSFairfax, KS

Romulus, MI 1#2

Romulus, MI 1#2

Fairfax, KSFairfax, KS

Marion, INMarion, IN

Heuliez, Cerizay, France

Heuliez, Cerizay, France

Bertone, Torino, Italy

Bertone, Torino, Italy

Steyr, Graz, Austria

Steyr, Graz, Austria

Barcelona, Spain

Barcelona, Spain

Tunis, Tunisia -CKD

Tunis, Tunisia -CKD

Bupyeong 1 & 2, S.Korea

Bupyeong 1 & 2, S.Korea

Changwon, S. Korea

Changwon, S. Korea

Bupyong, KoreaBupyong, Korea

Bupyeong, S. KoreaBupyeong, S. Korea

Warren, MIWarren, MI

Baltimore, MD

Baltimore, MD

Indianapolis, IN

Indianapolis, IN

Zaragoza, SpainZaragoza, Spain

Strasbourg, France

Strasbourg, France

Zaragoza, Spain

Zaragoza, SpainSpring Hill, TNSpring Hill, TN

Flint, MI 1,N&S

Flint, MI 1,N&S

St. Catharines,ONT 1&2

St. Catharines,ONT 1&2

Detroit-Hamtramck, MIDetroit-Hamtramck, MI

Windsor, ONTWindsor, ONT

Silao, MexicoSilao, Mexico Toluca, MexToluca, Mex

Spring Hill 1 & 2, TNSpring Hill 1 & 2, TN

Gravatai, BrazilGravatai, Brazil

Lansing Grand River, MILansing Grand River, MI

Pontiac, MIPontiac, MI

Lansing Tooling, MI

Lansing Tooling, MI

Flint 1 & 3, MIFlint 1 & 3, MI

Hethel, England

Hethel, England

Oshawa, ONT, CanadaOshawa, ONT, Canada

Renault, Batilly, France

Renault, Batilly, France

Kaiserslautern, GermanyKaiserslautern, Germany

Ellesmere Port, England

Ellesmere Port, England

Russelsheim, GermanyRusselsheim, Germany

Antwert, BelgiumAntwert, Belgium

Luton, EnglandLuton, England

Bochum, Germany

Bochum, Germany

Soedertaelje, SwedenSoedertaelje, Sweden

Gothenburg, Sweden

Gothenburg, Sweden

Bochum, Germany

Bochum, Germany

Russelsheim, Germany

Russelsheim, Germany Gliwice, PolandGliwice, Poland

6 October City, Egypt6 October City, Egypt

STSW, MISTSW, MI

Grand Rapids, MI

Grand Rapids, MI

Sao Jose dos Campos, Brasil

Sao Jose dos Campos, Brasil

Gravatai, BrasilGravatai, Brasil

GM South Africa 2GM South Africa 2

Wixom, MIWixom, MI

Yantai, ChinaYantai, China

Shenyang, China

Shenyang, China

Gunsan, S. Korea

Gunsan, S. Korea

Changwon, KoreaChangwon, Korea

Boryong, KoreaBoryong, Korea

Yanati, ChinaYanati, China

Yantai, China

Yantai, China

Qingdao, ChinaQingdao, China

Liuzhou, China 1&2

Liuzhou, China 1&2

Lansing Regional. MILansing Regional. MI

Parma, OHParma, OH

Livonia, MI

Livonia, MI

Rosario, Argentina

Rosario, Argentina

Mogi das Cruzes, Brasil

Mogi das Cruzes, Brasil

Rosario, ArgentinaRosario, Argentina

Lansing C, MILansing C, MI

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Enablers for Resource Leveraging

• Common vehicle development process

• Common engineering process

• Common manufacturing process

The Global Automotive Industry

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Primary Building Blocks for Commonization

• Enabler for common engineering andmanufacturing processes

• Common materials and specifications provide a global “language” for requirements

The Global Automotive Industry

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Global Specifications – Benefits

The Global Automotive Industry

• Reduce development, manufacturing and validation costs

• Enabler for global architectures

• Assist in moving into developing markets

• Improved productivity

• Improved quality

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Complex Material Landscape

SAE/ASTM – High Strength Steel

- Focus on Yield Strength

- YS-Steps: Not Systematic

- Test Direction: Longitudinal- Tensile Test Length: 50 mm

EN/SEW – High Strength Steel

- Focus on Yield Strength

- YS-Steps: 40 MPa

- Test Direction: TransverseTensile Test Length: 80 mm

JFS/JIS – High Strength Steel

- Focus on Tensile Strength

- TS-Steps: Not Systematic

- Test Direction: Transverse- Tensile Test Length: 50 mm (JIS)

EMS.ME – High Strength Steel

- Focus on Yield Strength

- YS-Steps: 40 MPa

- Test Direction: Transverse- Tensile Test Length: 50 mm

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• Global availability of materials• Grade/material commonization• Supplier capability differences• Variability in materials

– Chemistry– Microstructure– Mechanical Properties– Performance

Challenges

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Global Grade Strategy

FOCUS: Guarantee Global Availability of Material

North America

Europe

Asia

BO-GradesHR-Martensitic

Mild SteelB2-GradesDP-Steels

CR180P

CR210PCR240LA

CR180IFTrip-GradesCR MS900

C-Mn

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Global Material Specifications are the Common Engineering Language

Global Specifications

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Basic Structure of GMW´s• Test direction selected as the lowest strength direction

• YS and TS specified for all Advanced HSS‘s

Result: CR 590T/340Y DP (Common name: CR DP600)

Base Material Test DirectionGMW 2: Mild Steel Long. & Transverse DirectionGMW 3032: High Strength Steel Longitudinal DirectionGMW 3399: Multiphase Steel Longitudinal Direction

Globalization – Impact on Steel Industry

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Strategy• Common part design

– One part number valid world wide• One material specification for each part number

– Same material used worldwide• Single validation of a product

– Basic product will be validated once• Common manufacturing process

– One engineering package for all regions.

Requirement: Common materials in each region

Globalization – Impact on Steel Industry

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Globalization – Impact on Steel Industry

Benefit

• Increase engineering and manufacturing efficiency• Leverage global engineering and manufacturing

resources• Reduced product validation• Reduced engineering costs• Eliminate redundant development work• Increased speed to market• Maximize opportunities of global purchasing

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Global Grade Strategy

Catalog of Globally Available Materials

Global Availability

TechnologicalCompetitiveness

Product Engineering Grade Manufacturing Engineering Grade Common Name Bare EG (5) HD/GA Exposed

CR1 x x xCR2 x x xCR3 x x x xCR4 x x x x

CR5 CR5 x x x xHR1 HR1 x xHR2 HR2 x xHR3 HR3 x x

CR180 E see table below x x x x

CR180B2 CR180B2 x x x xCR210B2 CR210B2 x x x xCR240B2 CR240B2 x x xCR270B2 CR270B2 x x x

CR180IF/P CR180IF or CR180P x x xCR210IF/P CR210IF or CR210P x x xCR240IF/P CR240IF or CR240P x x x

CR240LA CR240LA x x xCR270LA CR270LA x x xCR300LA CR300LA x x xCR340LA CR340LA x x xCR380LA CR380LA x x xCR420LA CR420LA x x x

HR270LA HR270LA x xHR340LA HR340LA x xHR420LA HR420LA x xHR550LA HR550LA x x

270LA 3) CR or HR270LA x x x300LA 3) CR or HR300LA x x x340LA 3) CR or HR340LA x x x380LA 3) CR or HR380LA x x x420LA 3) CR or HR420LA x x x

CR490T/290Y DP CR490T/290Y DP CR DP500 x x xCR590T/340Y DP CR590T/340Y DP CR DP600 x x xCR780T/420Y DP CR780T/420Y DP CR DP800 x x xCR980T/550Y DP CR980T/550Y DP CR DP1000 x xCR980T/650Y DP CR980T/650Y DP CR DP1000 High Yield x x

CR900T/700Y MS CR900T/700Y MS CR MS900 x x

HR 1200T/1030Y MS 2) HR 1200T/1030Y MS HR MS1200 x x

HS1300T/950Y MS HS1300T/950Y MS GMW14400 - PHS* x TBD

GMW Grade (1)

CR

Coating (4,6)

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Global Coating Strategy

Canada/USA/MexicoEurope

China

Japan, Korea, AustraliaSouth America

Overview of Common Coatings by Region

GI, GA, EG GI, EG

GI, GA, EG

GAGI, GA

GI: HDG Zinc

GA: Galvanneal

EG: Electro Zn

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Global Coating Strategy

Global Epsilon

Design

Coa

tings

ELPO

Cav

ity w

ax

Seal

ing

Product(corrosion protection)

Coatings: One of the 4 Pillars of Vehicle Corrosion Protection

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Sheet Metal Attributes

Sheet Metal

Product Joining

PaintStamping

Weldability,

Chemistry,

Joining

Process

Crash/FatigueCorrosion

Formability,

Tribology

Paintability, Paint

Appearance

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Status

• Grade Strategy

•Coating Strategy

• Global Standards (GMW‘s)

• Material Strategy

Common

Implementation of Common Strategy

In Process

• Surface Finish

• Strain Rate Properties

• Lubrication

• Carbon Equivalent

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Elo

ngat

ion,

%

Tensile Strength, MPa300 600 900 1200 1500

IF

LC

0

10

20

30

40

50

60

70

IF-HS

BH

C-MnHSLA

DP, CP

TRIP

MART

Low Strength Steels<270 MPa

AHSS’s & Ultra HSS’s Steels >700 MPa

High Strength Steels270-700 MPa

Automotive Steel Strength/Ductility Ladder

PHS

Primary Materials Needing Commonization

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41% Low Carbon

HSLA, 5%

Low Carbon, 12%

* Body Structures Only

Dual Phase , 12%

Solid Solution Strengthened, 5%

Bake Hardenable, 37%

8% Ultra HSS (980 – 1500 MPa TS)

36%, Advanced HSS (490 – 780 MPa TS)

44% Conventional High Strength Steel

(210-420 MPa TS)

Steel Usage Changing

2004 Vehicle 2012 Vehicle

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Dual Phase 980 Example

Grade Version

Coating Type

Tensile Strength, MPa, min

Yield Strength, MPa, min

Total Elongation, %

(typical)

Hole Expansion

GradeA Bare/EG 980 550 ~ 11 NoB Bare/EG 980 650 ~ 13 NoC Bare/EG 980 800 ~ 9 YesD GI/GA 980 600 ~ 14 No

Mechanical Properties

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Chemistry

Dual Phase 980 Example

Grade Version Carbon Mn Si Others CE

A > .12 > 2.0 ~ 1.0 - 1.2 Mo, Cr, B, etc 0.28 - 0.33B > .12 > 2.0 ~ 1.0 - 1.2 Mo, Cr, B, etc 0.28 - 0.33C < 0.10 >> 2.0 < 1.0 Mo, Cr, B, etc 0.20 - 0.25D 0.10 - 0.13 >2 < 1.0 Mo, Cr, B, etc 0.24 - 0.28

CE = C + Mn/20 + Si/30 + 4S + 2P

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Pre-Requisites for Global Body Shop• Common welding performance for “same” grades• Common manufacturing processing windows

Material Requirements

Joining

• Similar welding parameters for the same grades in all regions

Steel industry support of global grades

Strive for similar performance and processing of those grades

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Joining

High Carbon Equivalents Increase Likelihood of Interfacial Fractures

Interfacial Fracture Button Pull-out

CE ~ 0.28 CE ~ 0.20

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0

0.1

0.2

0.3

0.4

Supplier A

Supplier B

Supplier B

Supplier C

Supplier C

Supplier d

Joining

Carbon Equivalent: Variability between suppliers

0

0.1

0.2

0.3

0.4

Suppli

er A

Suppli

er B

Suppli

er B

Suppli

er C

Suppli

er C

Suppli

er d

CR DP800 CR DP1000HDG

EG

HDG

HDGHDG

EGHDG

HDG

EG EG

HDGHDG

Car

bon

Equi

vale

nt

Car

bon

Equi

vale

nt

CE = C + Mn/20 + Si/30 + 4S + 2P HDG – Hot Dip Galvanized, EG - Electrogalvanized

Increasing Likelihood of

Interfacial Fractures

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Product Performance

Effect of boron on DBTT of ULC phosphorus bearing steels

Nominal Chemistry: 0.004%C, 0.25% Mn, 0.06% P

Ductile Fractures

Brittle Fractures

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Product Performance

GMW3032M-ST-S CR300LA is a good match for APFC 390

GMW3032M-ST-S CR270B2 is not a good match for APFC 390APFC 390

270B2 min

270B2 mean

270B2 max

APFC 390

300B2 min

300B2 mean

300B2 max

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• Steel companies and grades will be approved globally and not regionally

• Grades approved by “Global Ferrous Materials and Sheet Metal Team” will be considered acceptable for use in other regions

Level I: Global Engineering Requirements

Level II: Regional Manufacturing Requirements

Level III: Supplier Qualified to Level 1 and Level 2 in all regions

Global Qualification Process

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Conclusion

• Globalization of the steel and automotive industries is following similar paths

• The challenges for both industries are large, but the benefits are also large

• Commonization of material grades, to the extent possible, is critical to the continued globalization of our industries

• Continued cooperation and increased focus will accelerate these changes and benefit everyone