Global automotive supplier study 2010
In line with the recovery of global car production, revenues in the global automotive supplier industry are almost back to pre-crisis levels. Suppliers' EBIT margins will even reach an all-time high of approx. 6% in 2010 - Profit recovery is particularly strong at European and North American suppliers.
Rising factor costs and especially severe price pressure from car makers will lead to shrinking margins in 2011 and beyond. At the same time, the global supplier industry needs to refinance the substantial amount of around EUR 130 billion until 2015.
The crisis did not lead to real consolidation of most of the problematic segments – therefore, a large group of structurally weak underperformers (approx. 20% of the global supply base) will be the first to fail when volumes drop again.