Forvia announced on Thursday the rapid implementation of action plans and savings to contain the impact of US customs’ tasks on volumes and allow it to achieve its annual objectives, which confirmed after a solid first quarter.
The automotive supplier, the world number one, still points to 2025 a turnover of a turnover between 26.3 billion and 27.5 billion euros and an operational margin between 5.2% and 6% “on the basis of customs tasks that are already in force and attenuation and cost reduction measures in the deployment process,” he said in a press release. In the first quarter, its turnover increased by 2.6% to 6.7 billion euros.
“The increase in customs tasks and the increase in commercial conflicts represent significant challenges for the global economy and they are likely to cause greater volatility of automotive volumes,” Forvia added in their press release.
Gel hiring and reduction of R&D expenses
Beyond the repercussions of the customs tasks of its customers, Forvis has established work groups, at the central level, regions and operations at flexible production costs in sites where volumes are already affected by the impact of the surcharge.
The group also decided to freeze hiring, travel restrictions, the cancellation of their participation in the next Munich car halls and these in Las Vegas and a specific reduction in investment spending and development costs of more than 100 million euros in 2025 compared to 2024.
Source: BFM TV
