Ford – like all automakers – relies heavily on its expansive network of suppliers, which can quite literally have a massively positive or negative impact on its business. We’ve seen this in recent years not only in the form of recalls issued over supplier parts, but also, companies like Webasto, which have struggled to provide The Blue Oval with parts, as well as right their own financial ships. Many of these Ford suppliers have a strong presence in the Detroit area, and that now includes the soon-to-be-larger outfit known as Detroit Manufacturing Systems.
According to Automotive News, Detroit Manufacturing Systems has reached a deal to purchase two of its competitors – Android Industries and Avancez – which will now fold into DMS to create a new company called Voltava. Pending regulatory approval, such a move will create a company employing around 5,400 people and generating roughly $2 billion in annual revenue, putting a cap on talks that began in late 2023. DMS currently supplies not only to Ford, but also, General Motors and Stellantis, with services such as value-add assembly and vertically integrated contract manufacturing solutions.
Currently, DMS has a 500,000-square-foot plant in Detroit that makes instrument panels for the Ford Mustang, Ford Explorer, Ford F-150, and Ford F-150 Lightning. Android and Avancez count GM as their largest client, to which the companies supply things like overhead systems, tire and wheel assembly, center consoles, and suspension modules, but both also provide Ford and Stellantis with various components as well. Combing these entities together gives the Detroit Big Three more of a one-stop shop solution.
“This one was fortuitous for us,” said DMS CEO CEO Bruce Smith. “It just gives us far more capabilities for our customers. It reduces our vulnerability in a market that’s really dynamic.” When and if the deal goes through, Smith will serve as chairman and CEO Voltava, while current Android CEO CEO Kathryn Nichols will take on a leadership advisory role.
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