Slowing global automotive demand and changes in the component demand structure driven by hybridization and electrification
First written in FY2020-Q1. 7 of 19 entries say "Worsened", first in FY2020-Q2. Latest entry: FY2026.
Kitagawa moved to the "Worse" side of this theme in 2019, 2 years before the typical company in this theme (2021).
The whole theme swung hardest in 2020: 17 of 34 companies on the "Worse" side.
12 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「Production volume at the Mexican subsidiary declined due to reduced automobile production by automakers affected by semiconductor shortages, declining demand for cast components and other factors, resulting in ¥24,319 million, down 1.6% year on year.」
Risks related to changes in the structure of automotive and component demand have appeared in actual results as production cuts by automakers due to semiconductor shortages and lower production volumes in Mexico. - FY2026-H1Divergence in demand patternsAnnual report
「Although affected by US trade policy, ICE and hybrid vehicles maintained a certain level of demand in the automotive industry. Meanwhile, conditions in the agricultural and construction machinery industries remained difficult in Europe and the United States.」
It states that ICE and hybrid vehicles are maintaining a certain level of demand despite the continuing impact of US trade policy, indicating a divergence in demand patterns distinct from the previously reported slowdown in EV demand growth. - FY2025-H1WorsenedAnnual report
「The automotive industry continues to face an uncertain outlook, as global EV demand growth has slowed and issues involving improper certification by domestic automakers have arisen, although global market conditions have remained broadly flat.」
In the automotive industry, uncertainty over the outlook increased as, in addition to the previous shift in demand structure driven by electrification, growth in EV demand slowed and domestic automakers faced certification irregularities. - FY2024RestatedAnnual report
「The automotive industry moved toward recovery as component shortages were resolved and automakers' production began to normalize.」
It continues to report the resolution of component shortages and a recovery trend toward the normalization of automakers' production. - FY2024-Q3MitigatedAnnual report
「The automotive industry has resolved its component supply shortage issues, and global vehicle sales increased year on year, remaining on a recovery trend.」
Compared with the previous quarter's statement that shortages were being resolved, it now recognizes that the component shortage problem has been resolved and that global vehicle sales increased year on year. - FY2024-Q2RestatedAnnual report
「The automotive industry is seeing supply shortages of components ease, and global vehicle sales generally increased year on year.」
It continues to report easing component shortages and a recovery trend in vehicle sales. - FY2024-Q1MitigatedAnnual report
「The automotive industry is seeing shortages of components such as semiconductors ease, and global vehicle sales are recovering.」
The automotive and component demand environment has improved as shortages of components such as semiconductors eased and global vehicle sales began to recover. - FY2023-Q3RestatedAnnual report
「Although global vehicle sales, particularly in China, are recovering as a result of China's purchase-incentive policies, the outlook remains uncertain, with automakers implementing production adjustments due to persistent shortages of automotive components, including semiconductors, and difficulties in procuring materials, among other issues.」
While reporting a recovery trend in automotive sales led by China, it continues to note automakers' production adjustments caused by component shortages and difficulties in procuring materials, as well as uncertainty over the outlook. - FY2023-Q2WorsenedAnnual report
「Although global vehicle sales, particularly in China, are showing signs of recovery following the implementation of sales-promotion policies in China, the outlook remains uncertain as automakers have been adjusting production because of issues including shortages of automotive parts, including semiconductors, and difficulties in procuring materials.」
While automotive sales are recovering, led by China, automakers continue to adjust production due to shortages of components, including semiconductors, and difficulties in procuring materials, increasing uncertainty over the outlook. - FY2022-Q3RestatedAnnual report
「In the automotive industry, signs of market recovery, led by China, had begun to emerge, but the shortage of semiconductors and automotive components, particularly in Southeast Asia, led automakers to adjust production, leaving conditions uncertain.」
While the Chinese market is showing signs of recovery, shortages of semiconductors and components, particularly in Southeast Asia, and automakers' production adjustments continue. - FY2022-Q2WorsenedAnnual report
「In the automotive industry, signs of market recovery, led by China, had begun to emerge, but the shortage of semiconductors and automotive components, particularly in Southeast Asia, led automakers to adjust production, leaving conditions uncertain.」
While the Chinese market is showing signs of recovery, automakers have adjusted production due to shortages of semiconductors and automotive components, increasing uncertainty over the demand and production structure. - FY2022-Q1RestatedAnnual report
「In the automotive-related industry, signs of a market recovery, centered on China, had begun to emerge, but conditions remained uncertain due to declining production volumes caused by the global semiconductor shortage and soaring raw-material prices.」
While noting signs of recovery in the automotive market led by China, it states that uncertainty remains in the production and demand environment due to semiconductor shortages and higher material prices. - FY2021RestatedAnnual report
「To respond to demand changes resulting from vehicle electrification, we will review our component mix and concentrate management resources to build a business structure that is resilient to changes in the external environment.」
It continues to regard fluctuations in component demand resulting from the shift to electric vehicles as a business risk, and states that it will respond by reviewing its component mix and concentrating management resources. - FY2021-Q3MitigatedAnnual report
「In the automotive industry, although the impact of COVID-19 remains, signs of recovery are emerging across the market, led by China.」
Although the impact of COVID-19 remains, the global automotive market has shown signs of recovery, led by China. - FY2021-Q2RestatedAnnual report
「In the automotive-related industry, the impact of COVID-19 has not yet been fully dispelled. Although the Chinese market shows signs of recovery, new-vehicle sales continue to decline in Japan, North America, Europe, and other markets.」
Although automotive demand is showing signs of recovery in China, declines continue in Japan, North America and Europe, and changes in the demand environment persist. - FY2021-Q1WorsenedAnnual report
「In the automotive-related industry, the market as a whole slowed sharply owing to the slowdown in the Chinese market and the impact of US-China trade friction, as well as the spread of COVID-19, which led some automakers to adjust production by suspending operations.」
In addition to the loss of momentum in China and US-China trade tensions, COVID-19 led automakers to suspend operations and adjust production, further slowing automotive and component demand. - FY2020-Q3WorsenedAnnual report
「In the automotive industry, the global automotive market is showing increasing signs of a slowdown, led by a loss of momentum in China, the world's largest automotive market.」
It states that the global automotive market is showing increasing signs of a slowdown, led by a loss of momentum in China. - FY2020-Q2WorsenedAnnual report
「In the automotive industry, automotive demand is slowing in both developed and emerging markets, due in part to the impact of US-China trade tensions. The industry is shifting toward hybridization and electrification, and initiatives are under way to reduce component weight and the number of parts.」
The slowdown in automotive demand has spread to both developed and emerging markets, and the impact of US-China trade tensions has also been explicitly noted. Changes in component structure driven by hybridization and electrification continue. - FY2020-Q1First statedAnnual report
「In the automotive industry, global automotive demand is slowing, particularly in developed countries. In response to tighter emissions regulations, the shift toward hybridization and electrification is accelerating, and initiatives are under way to reduce component weight and the number of parts.」
It identifies slowing global automotive demand, particularly in developed countries, and the reduction in component weight and the number of parts associated with hybridization and electrification as new risks in the automotive business environment.