AUTOS

GM Seeks Cost Cuts With Suppliers: General Motors Corp. shocked the auto parts industry by telling suppliers it will reopen contracts to new bids and seek parts cost savings of at least 10%. Executives who attended a meeting with GM’s new purchasing czar, J. Ignacio Lopez de Arriortua, said GM is seeking to revamp the contracts to bring down costs. At the meeting, Lopez cited cost reductions and efficiency improvements of 22% to 65% that GM’s European operations achieved with its suppliers during his tenure as GM’s European purchasing chief, said Gerald Jusco, vice president of industry relations for ITT Automotive, owned by ITT Corp. But stunned executives said the cost-cutting goals will be difficult to achieve.