Chrysler to increase 1996 minority-supplier business after exceeding 1995 goal of $1 billion

Jet, Nov 20, 1995

Though Chrysler has surpassed its 1995 goal of giving $1 billion in auto-parts contracts to minority suppliers, CEO Robert Eaton told USA Today the company will try to increase its minority-supplier business in 1996.

Chrysler's 1994 auto-parts contracts for minority-owned companies totaled $916 million. The following year Chrysler decided to award $1 billion, or nearly 5 percent, of its parts contracts to minority-owned parts companies. It ended up extending well beyond its goal.

Now, Chrysler expects about $1.2 billion in 1995 parts business, or 5.6 percent, to go to cmpanies with Blacks, Hispanics, Asians and other minority owners.

"Shortly after 2010 or so, about 35 percent of the U.S. population will be made up of minorities. Clearly, it's in our best interests to increase ties with minority-owned companies," Eaton said during the recent National Minority Supplier Development Council Convention in Detroit.

Minority suppliers additionally could benefit as Chrysler expands internationally, says Eaton.

Eaton is honorary chairman of the National Minority Supplier Development Council.