Texprocess
TTNA

Free membership

Receive our weekly Newsletter
and set tailored daily news alerts.

Industry Talk

Delay expected in automotive industry recovery

Global vehicle production will reach just 80.4 million units in 2022 – significantly lower than was forecasted in mid-February.

15th June 2022

Innovation in Textiles
 |  Winterthur, Switzerland

Transport/​Aerospace

Due to the impact of the war in Ukraine on the automotive industry and vehicle production, as well as rising inflation, Autoneum, the leading Swiss-headquartered supplier of acoustic and thermal management materials, is adjusting its corporate outlook for 2022.

Any market recovery will be delayed by current developments, the company believes, and since the outbreak of war, new bottlenecks in global supply and logistics chains have been impacting vehicle production volumes and slowing the revenue and earnings development of the automotive supply industry, especially in Europe.

This is being accompanied by accelerated inflation and significant price increases on the commodities markets.

For Autoneum, this means rising material, energy and transport costs which automotive manufacturers and suppliers are now required to share as partners.

In addition, renewed coronavirus-related lockdowns in China are delaying growth in Asia. According to a revised market forecast  by IHS, global vehicle production will reach 80.4 million units in 2022, an increase of 4.1% compared to 2021 – significantly lower than was still expected in mid-February.

As a result Autoneum expects to break-even for the first half of the year, with an overall 2022 earnings margin of between 2-3%, down from its previous forecast of 4-5% for the full year.

Autoneum is very well positioned for the transformation of the automotive industry towards e-mobility and sustainability. Its product portfolio is suitable for all drive types, whether internal combustion, hybrid or pure electric vehicles. The medium-term forecasts that Autoneum published in November 2021 remain unchanged. The timing of the market recovery, however, will also depend on further geopolitical developments.

www.autoneum.com

Latest Reports

Business intelligence for the fibre, textiles and apparel industries: technologies, innovations, markets, investments, trade policy, sourcing, strategy...

Find out more