Tier-1 Suppliers Wrestle With China

A major auto supplier reports a sharp drop in earnings, signaling some trouble ahead.

Delphi Technologies had a 50-percent decline in net income for the 3rd quarter, to 39-million, mostly due to a drop in sales in China.
Suppliers are facing a decline in the Chinese auto market.
Delphi Tech is a spinoff of the former powertrains unit of Delphi Automotive.
Delphi also cites the decline of diesel production in Europe.
Bookings of new business are in hybrids and electrics, a mirror of where the auto supply business is going.