Risk to Auto Parts Demand from Declining Automobile Production in China
First written in FY2019-Q3. 12 of 21 entries say "Mitigated", first in FY2021-Q3. Latest entry: 2026-08-10.
Somar moved to the "Worse" side of this theme in 2019, the same year as the typical company in this theme.
The whole theme swung hardest in 2019: 6 of 10 companies on the "Worse" side.
0 other companies' latest entry also says "Mitigated".
- 2026-08-10MitigatedEarnings
「Although production trends varied among automakers, HEV and BEV production generally continued to increase, and sales remained strong, particularly for products related to EV applications.」
The trend toward increased HEV and BEV production and strong sales of EV-related products have mitigated the risk associated with demand from the auto parts industry. - FY2026MitigatedAnnual report
「Sales of products for EV-related applications to the auto parts industry remained strong against a backdrop of increased HEV and BEV production.」
Sales of EV-related products remained strong against a backdrop of increased HEV and BEV production, and high-performance resin products posted a 13.0% increase in sales, easing the risk to automotive demand. - 2026-05-15MitigatedEarnings forecast revision
「Sales of products for EV-related applications to the auto parts industry remained strong against a backdrop of increased HEV and BEV production.」
Sales related to EV applications remained strong against a backdrop of increased HEV and BEV production, partly mitigating the risk associated with demand from the auto parts industry. - FY2026-H1MitigatedAnnual report
「Sales of products for the automotive parts industry maintained strong orders for EV-related applications, supported by increased production of HEVs and BEVs.」
Orders for EV-related applications remained strong against a backdrop of increased HEV and BEV production, partially easing the risk associated with automotive parts demand. - FY2025-H1MitigatedAnnual report
「In sales of products for the automotive parts industry, although uncertainty surrounding the outlook for EV demand and other concerns remain, recovering market conditions led to increased sales of high-performance resin products in North America and China, including through the acquisition of new customers, significantly contributing to operating profit.」
Although uncertainty remains over the outlook for EV demand, sales for the automotive parts industry exceeded those of the same period of the previous year due to recovering market conditions and the acquisition of new customers in North America and China. - FY2024-Q3MitigatedAnnual report
「Sales of electrical insulation resins for the automotive parts industry increased 25.3% year on year, exceeding the same quarter of the previous year. Against a favorable order environment, sales activities in China, Europe and North America, as well as Japan, were successful, particularly for EV-related parts applications, while sales to certain customers also increased.」
Against a backdrop of recovering automobile production as the semiconductor shortage eased and favorable order conditions, sales including products for EV applications grew, resulting in a 25.3% year-on-year increase in sales. - FY2024-Q2MitigatedAnnual report
「Sales of electrical insulation resins for the automotive parts industry increased 19.1% year on year, exceeding the same quarter of the previous year. Sales activities in China and Europe, as well as Japan, benefited from a favorable order environment for EV-related parts, while sales of some products for specific customers also increased.」
Against a backdrop of recovering automobile production as the semiconductor shortage eased and favorable order conditions, sales including products for EV applications grew, further easing the risk to automotive demand. - FY2024-Q1MitigatedAnnual report
「In sales of products for the automotive parts industry, sales of resin products for EV applications grew, particularly amid favorable order conditions, and exceeded those of the same quarter of the previous year.」
The order environment for automotive parts remained favorable, and sales exceeded those of the same quarter of the previous year as sales of resin products for EV applications grew. The risk to demand has therefore eased in part. - FY2023-Q3RestatedAnnual report
「Although sales of products for the automotive parts industry were affected by production cuts at automobile manufacturers caused by the global semiconductor shortage, sales exceeded those of the same quarter of the previous year, supported by expanded sales of parts for EV applications and solid order trends at overseas subsidiaries due to the weaker yen and other factors.」
The impact of production cuts at automobile manufacturers caused by the global semiconductor shortage continued, but sales for the automotive parts industry exceeded those of the same period of the previous year due to expanded sales of parts for EV applications and strong orders at overseas subsidiaries. - FY2023-Q2WorsenedAnnual report
「In sales of products for the automotive parts industry, automobile manufacturers were forced to reduce production because of the global semiconductor shortage, but expanded sales of parts for EV applications provided support, leaving sales at roughly the same level as in the same quarter of the previous year.」
The global semiconductor shortage forced automobile manufacturers to reduce production, making the order and demand environment for automotive parts unstable. Meanwhile, expanded sales of parts for EV applications provided support. - FY2023-Q1WorsenedAnnual report
「In sales of products for the automotive parts industry, the order environment was unstable due to the semiconductor shortage, but sales remained at roughly the same level as in the same quarter of the previous year, supported by the weaker yen and expanded sales of parts for EV applications.」
The company newly identified instability in the order environment caused by the semiconductor shortage. Meanwhile, the weaker yen and expanded sales of parts for EV applications provided support, leaving sales at roughly the same level as in the same quarter of the previous year. - FY2022-Q3MitigatedAnnual report
「Sales of resin products for electrical insulation used in the automotive parts industry and resin products for sensors in electrical and electronic equipment were severely affected by the spread of COVID-19. However, sales increased 27.2% year on year as market conditions improved from the same quarter of the previous year, when sales had declined sharply, and sales of insulating resin products for EV-related parts grew at overseas subsidiaries.」
Improved market conditions and growth in sales to EV-related parts at overseas subsidiaries drove a 27.2% year-on-year increase in sales of high-performance resin products, easing the risk to automotive-related demand. - FY2022-Q2MitigatedAnnual report
「Sales of electrical-insulation resin products for the automotive parts industry and resin products for sensors in electrical and electronic equipment increased 41.3%, as market conditions improved from the same quarter of the previous year, when sales had declined substantially due to the COVID-19 pandemic, and sales of insulation resin products for parts used in new EV applications grew.」
Improved market conditions and growth in parts for new EV applications drove a 41.3% year-on-year increase in sales of high-performance resin products, easing the risk to automotive-related demand. - FY2022-Q1MitigatedAnnual report
「Sales of electrical-insulation resin products for the automotive parts industry and resin products for sensors in electrical and electronic equipment increased 59.2%, as market conditions improved from the same quarter of the previous year, when sales had declined substantially due to the COVID-19 pandemic, and sales of insulation resin products for parts used in new EV applications grew.」
Improved conditions in the automotive parts-related market and growth in products for new EV-related customers drove a 59.2% year-on-year increase in sales of high-performance resin products, easing the risk to demand. - FY2021-Q3MitigatedAnnual report
「In sales of products for the automotive parts industry, sales of the mainstay electrical-insulation resin products for the automotive parts industry recovered in Japan and China and remained at roughly the same level as in the same period of the previous year as the impact of production adjustments caused by the COVID-19 pandemic eased. However, sales of functional resin products declined substantially.」
Mainstay electrical-insulation resin products recovered to roughly the same level as in the same period of the previous year in the domestic and Chinese markets, while sales of functional resin products declined substantially. Risks to demand have therefore eased in some areas but persist in others. - FY2021-Q2WorsenedAnnual report
「In sales of products for the automotive parts industry, sales of the mainstay electrical-insulation resin products for the automotive parts industry recovered to roughly the same level as in the same quarter of the previous year during the second quarter, but order trends in related industries continued to weaken as global markets remained sluggish.」
Although some mainstay products recovered to roughly the same level as in the same period of the previous year, order trends in the automotive parts-related industry continued to weaken due to sluggish global markets. - FY2021-Q1MaterialisedAnnual report
「In sales of products for the automotive parts industry, the global market slowed due to the impact of the COVID-19 pandemic, weakening order trends in related industries. Sales therefore fell substantially below the same quarter of the previous year.」
The slowdown in global markets and weakening order trends caused sales of automotive parts-related products to fall substantially below the same quarter of the previous year, and the previously identified risk to automotive demand is materializing as an actual decline in sales. - FY2020-Q3WorsenedAnnual report
「In sales of products for the automotive parts industry, sales fell below the same quarter of the previous year due to a slowdown in global markets caused by US-China trade tensions.」
The slowdown in global markets caused by US-China trade tensions materialized as a year-on-year decline in sales of automotive parts-related products. - FY2020-Q2WorsenedAnnual report
「In sales of products for the automotive parts industry, signs of a slowdown emerged in related markets, resulting in a slight decline in domestic and overseas sales trends.」
Signs of a slowdown in the automotive parts-related market emerged, and domestic and overseas sales declined slightly. - FY2020-Q1MaterialisedAnnual report
「In sales of products for the automotive parts industry, sales in Japan remained at roughly the same level as in the same quarter of the previous year because production by major domestic customers remained solid. Overseas sales, however, declined as the order environment deteriorated amid an economic slowdown caused by US-China trade tensions and other factors.」
Overseas sales of automotive parts-related products declined as US-China trade tensions caused an overseas economic slowdown and deteriorated the order environment, and the risk associated with declining Chinese automobile production materialized as an actual sales impact. - FY2019-Q3First statedAnnual report
「In sales of products for the automotive parts industry, sales of high-performance resin products increased, particularly because domestic and overseas automobile production generally remained solid to date, despite the emergence of a major change in the business environment as automobile production in China began to decline.」
The company identified a new external risk to automotive parts-related demand, citing the beginning of a major change in the business environment as automobile production in China turned downward. Meanwhile, domestic and overseas automobile production remained generally solid through the third quarter, and sales of high-performance resin products increased.