(Reuters) -France-based car parts supplier Forvia reported a 3.7% drop in its third-quarter sales on Monday, dragged by a negative currency exchange impact of 238 million euros ($278 million).
Forvia’s reported sales fell to 6.12 billion euros in the third quarter of 2025, from 6.36 billion euros a year earlier, mainly resulting from the euro’s depreciation against the U.S. dollar and the Chinese yuan, the group said.
The implementation of its cost reduction programme allowed it to reach stable results on an organic basis despite market headwinds.
Car parts suppliers like Forvia have been implementing cost reduction measures, including layoffs and slashed investments, to recover their margins as the sector grapples with falling auto demand and growing competition from Chinese manufacturers.
“Chinese (automotive) production grew by 9.8 %, driven by local OEMs (original equipment manufacturers), but with a significant shift away from BYD and Li Auto, two of the group’s key customers in the country,” Forvia said.
This unfavourable change in the customer mix was only partially offset by a strong ramp-up with another Chinese automaker, Chery. As a result, Forvia’s sales underperformed global car production growth by 440 basis points, the group said.
Forvia confirmed its full-year outlook.
($1 = 0.8569 euros)
(Reporting by Mathias de Rozario in Gdansk, editing by Milla Nissi-Prussak)
