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Home » Pricing, incentive discipline needed for OEMs to escape ratings downgrades

Pricing, incentive discipline needed for OEMs to escape ratings downgrades

Increased utilization of US plants can boost margins

Truth HeadlambyTruth Headlam
April 20, 2026
in Capital & Funding
Reading Time: 4 mins read
0
Pricing, incentive discipline needed for OEMs to escape ratings downgrades

(Courtesy/Canva)

Auto manufacturers need to practice pricing and incentive discipline to preserve margins and avoid ratings downgrades in 2026 and 2027.   The metrics S&P Global Ratings examines to determine ratings changes for most investment-grade companies are linked to profitability, with the agency emphasizing earnings before interest, taxes, depreciation and amortization margins — commonly referred to as EBITDA […]

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