(Bloomberg) — Auto-parts manufacturers are lobbying for access to federal loans so they can resume making the components necessary for U.S. automobile assembly plants to begin producing cars once more.
The details of such a program, including its size, are still being discussed with lawmakers, but the loans are needed to help cover the initial raw materials purchases and other costs of producing parts after a roughly six-week period of almost zero revenue from components used in new vehicle production, according to Ann Wilson, senior vice president of government affairs at the Motor & Equipment Manufacturers Association.
“We have not produced a light duty vehicle in this country for almost 45 days. That means that the supply base has no money coming in,” she said. “What our industry is interested in is a program of short duration that can provide that necessary funding to the industry so we can get