Hydro Extrusions Faces Challenges Amid IF Metall's Strategic Move Against Tesla in Giga Berlin - Tesery Official Store
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Hydro Extrusions Faces Challenges Amid IF Metall's Strategic Move Against Tesla in Giga Berlin

by Lucky LI on Dec 11, 2023

In a recent development, the Swedish union IF Metall has set its sights on Giga Berlin, with a strategic focus on disrupting Tesla's operations. Central to their strategy is the involvement of Hydro Extrusions, a key supplier of aluminum profiles for Tesla's Model Y. However, recent comments from Hydro Extrusions CEO Jonas Bjuhr suggest potential repercussions for the company's employees due to the union's actions.

Despite having a collective agreement in place, Hydro Extrusions is apprehensive about the possibility of losing Tesla as a customer. Owned by the Norwegian giant Hydro, the company employs 850 individuals in Vetlanda and Finspång. The ongoing strike by IF Metall has halted deliveries to Tesla for nearly two weeks, impacting Hydro Extrusions from the outset.

In an interview with Dagens Nyheter (DN), CEO Jonas Bjuhr highlighted the immediate and future concerns facing the company. The strike has already led to revenue loss in an economically challenging period. Bjuhr expressed particular worry about the growing market for aluminum parts in electric vehicles, emphasizing that a prolonged strike could erode confidence in Swedish suppliers, leading to the potential takeover by other suppliers.

When asked about the impact on employees, Bjuhr disclosed that approximately 20 employees, primarily in Vetlanda, are currently affected. While efforts have been made to redeploy them to other departments, the CEO acknowledged the looming risk of redundancies. The company has obtained approval to reduce its workforce if necessary.

IF Metall strike general Veli-Pekka Säikkälä defended the union's actions, asserting that Hydro Extrusions consciously took a risk by engaging with a company lacking a collective agreement. He clarified that the union's target is not Tesla in Sweden but the American group as a whole, aiming to disrupt its business opportunities. The strategic focus on Tesla's Giga Berlin factory, dependent on Hydro Extrusions' deliveries, serves as a calculated move to increase pressure on Tesla.

As the situation unfolds, the impact on Hydro Extrusions and its employees remains uncertain, highlighting the intricate dynamics between unions, suppliers, and global automakers in the ever-evolving landscape of the automotive industry.