NEW YORK (AP) -- Auto parts supplier American Axle & Manufacturing Holdings Inc. is seeking a court order to get one of its steel suppliers to resume deliveries, saying that cutting off supplies threatens the entire auto supply chain.
Detroit-based American Axle has asked an Oakland County, Mich., Circuit Court judge to order Republic Engineered Products to resume steel shipments. Republic stopped shipments of its custom steel products to American Axle last month, seeking volume commitments and pointing to American Axle's weak financial condition.
A spokesman for Canton, Ohio-based Republic said it expects a ruling on the request Wednesday.
"We're aware of the suit and that it's something we wish we could have worked out privately with our customer and that normally we don't comment on customer issues," Republic spokesman Ken Braun said.
American Axle is a principal supplier of General Motors Corp. It makes components crucial to the production of GM trucks and SUVs and was the automaker's 16th largest creditor when it filed for Chapter 11 bankruptcy protection earlier this month, according to court filings.
Automakers have expressed concern that a parts shortage caused by lack of supplies among lower-tier suppliers could lead to widespread disruption of vehicle production. However, GM spokesman Dan Flores said the dispute does not affect GM for the time being because the automaker has already ceased virtually all truck production.
"We are aware of the issue with American Axle and one of its suppliers," Flores said. "We do not foresee any impact on GM production at this time."
In its request filed earlier this month, American Axle alleged that Republic wrongfully backed out of a four-year contract to supply custom-made steel. According to court documents, Republic sought from American Axle a "binding schedule" for deliveries, citing the parts maker's weak financial condition.
American Axle has closed plants and laid off thousands of employees to cope with the decline in automobile production. In March, its auditors issued a so-called going concern warning, raising doubts about its ability to continue operations.
Company representatives at American Axle did not return phone calls seeking comment. Its shares fell 7 cents to close Tuesday at $3.52.
