Like it or not, General Motors’ bitter fight with its principal supplier, Delphi Corp., will be examined by a panel of U.S. Senators concerned about what role the supplier might have played in the faulty switches tied to a recall of more than 2.6 million GM vehicles and 13 deaths.
In a letter made public this week, four different senators have asked Delphi Chief Executive Rodney O’Neal on Tuesday a series of questions about the auto supplier’s production of ignition switches.
The switches were made in a Delphi plant in Matamoros, Mexico, at a time when GM and Delphi were at loggerheads over the cost of components. GM spun off Delphi in 1999 and immediately demanded price downs from Delphi executives, who resented and resisted GM’s push for concessions. (more…)