
OPmobility implements its plan to deal with US tariffs
The company, which supplies the three leading U.S. carmakers, General Motors (GM.N), opens new tab, Stellantis (STLAM.MI), opens new tab and Ford (F.N), opens new tab, said it is trying to anticipate a potential volume decline from its clients in the second half of the year.
here.
"That's all the savings in operating costs, ... everything linked to external service providers, everything linked to travel, everything linked to non-essential expenditure, and also a very strong emphasis on flexibility in our plants in line with the evolution of volumes," Favre said.
He added the company will also slow down investments with a target of a 5% to 10% investment reduction compared to usual levels.
"This does not, in any way, affect our long-term strategy," Favre said.
He added that they will continue to invest in technology, to improve their regional balance, to invest all over the world with a stronger focus on America and Asia, and to diversify their customer base by developing new entrants such as BYD (002594.SZ), opens new tab, Chery, Tesla (TSLA.O), opens new tab and Rivian (RIVN.O), opens new tab.
The group also confirmed its full-year outlook, backed by its cost reduction measures and by a 3.1% consolidated revenue growth in the first quarter of the year.
The group's quarterly consolidated revenue came in at 2.69 billion euros ($3.08 billion), up from 2.61 billion euros a year earlier.
It outperformed global automotive production according to the S&P Global Mobility forecasts published earlier this month, led by its European and Asian markets.
North America, which accounted for more than 27% of the group's economic revenue, however recorded a 4.1% revenue drop mainly due to a decline in module volumes assembled in Mexico.
"It's a question of seasonality ..., some of our customers are launching new models, others are discontinuing them, so this happened in the first quarter, but it will be offset in the rest of the year," Favre said.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Reuters
16 minutes ago
- Reuters
US Treasury chief sees 100 countries getting 10% reciprocal tariff
WASHINGTON, July 3 (Reuters) - About 100 countries are likely to see a reciprocal tariff rate of 10%, U.S. Treasury Secretary Scott Bessent said on Thursday, adding that he expects "a flurry" of trade deals announced before a July 9 deadline that could see tariff rates increase sharply. "We'll see how the President wants to treat those who are negotiating, whether he's happy that they're negotiating in good faith," Bessent told Bloomberg Television. "I think that we're going to see about 100 countries who just get the minimum 10% reciprocal tariff and will go from there. So I think we're going to see a lot of action over the coming days," Bessent said. The Trump administration is negotiating with more than a dozen trading partners to try to reach tariff-reducing agreements ahead of the deadline, including India, Japan and the European Union. Trump on Wednesday announced an agreement with Vietnam that cuts U.S. tariffs on many Vietnamese goods to 20% from his previously threatened 46%, with many U.S. products entering Vietnam duty free.


Reuters
18 minutes ago
- Reuters
Japan PM Ishiba says President Trump may be misinformed on some tariff issues
TOKYO, July 3 (Reuters) - Japanese Prime Minister Shigeru Ishiba said on Thursday U.S. President Donald Trump's views on some tariff-related issues may be based on misunderstanding or misinformation, as a pause on a 24% reciprocal tariff on imports from Japan expires next week. "We hear President Trump say no U.S. cars are running in Japan and that we are not importing (U.S.) rice. That could be based on misunderstanding or misinformation," Ishiba said on public broadcaster NHK's news programme. Japan has in fact imported historically high volumes of U.S. rice in recent months as domestically grown rice has skyrocketed in price since last year, hurting consumers. Ishiba said, however, tariff negotiations with the United States are making steady progress, without going into specifics.


Reuters
26 minutes ago
- Reuters
IMF to combine reviews of Egypt's $8 billion loan program
WASHINGTON, July 3 (Reuters) - The International Monetary Fund on Thursday said it would combine the fifth and sixth reviews of Egypt's $8 billion support program this fall to give authorities more time to meet critical objectives of its economic reform program. IMF spokeswoman Julie Kozack told a regular briefing that IMF staff were working with Egyptian authorities on finalizing key policy measures, particularly on the state's role in the economy. A decision to combine the reviews, first reported by Reuters on Tuesday, could delay a new disbursement of funds to Egypt by half a year. Kozack said it was premature to discuss the level of any expected disbursement related to the combined reviews. The International Monetary Fund approved its fourth review of the program in March, unlocking a disbursement of $1.2 billion and bringing total disbursements to about $3.5 billion. The 46-month facility was signed in March 2024 following more than a year of severe foreign currency shortages and inflation that peaked at 38% in September 2023. Kozack said an IMF team met with Egyptian officials in Cairo May 6 to 18 for what she called "productive" discussions. "Egypt continues to make progress under its macroeconomic reform program, and we can say that there's been notable improvements in inflation and in the level of foreign exchange reserves, which have increased," she told reporters. However, she said, Egypt needed to deepen its reforms, reduce the state's footprint in the economy and improve the business environment to safeguard macroeconomic stability and bolster resilience. "Key priorities are advancing the state ownership policy and asset diversification program in sectors where the state has committed to withdraw," she said, adding such steps were critical to enabling the private sector to drive stronger and more sustainable growth. Staff discussions with authorities suggested that "more time is needed to finalize the key policy measures, particularly related to the state's role in the economy," Kozack said.