Improving the experience of a world in motion
Global market overview
12
North America
Europe
China / Asia Pacific
ADIENT
> Benefits from a favorable mix of
vehicles (trucks / SUVs / CUVs) remain
strong; however, late in cycle and rising.
interest rates pressuring demand and
affordability
> Input costs pressuring overall results:
-
Labor economics, particularly in
Mexico
-
Increased transportation cost
> FY19 vehicle production estimated to be
relatively flat vs. FY18
> Macro-factors pressuring industry:
Overhang from Worldwide Harmonized Lt.
Vehicle Testing procedure (WLTP)
Brexit
-
Threat of US tariffs on EU vehicles
Political uncertainty (France / Italy)
Currency (weaker Euro vs. USD)
> FY19 vehicle production estimated to be down
~2% vs. FY18
> ADNT expects to outperform the Asian
market, due to its strong customer mix,
particularly in China, Thailand and
Malaysia
> Inventory de-stocking taking place,
providing an encouraging landscape for
late 2019
> A variety of stimulus actions announced
(e.g. VAT reduction beginning April 1);
tangible and expected benefits from the
actions remain unclear
Adient - Improving the experience of a world in motion
> FY19 China volume estimated to be down
between 10-12% vs. FY18View entire presentation