Will Autoliv outperform the market?
We expect full-year organic sales growth of 13 to 16 percent. That means that we are looking to outperform LVP by about 11 percentage points. This comes from both our product mix and content per vehicle, meaning that the safety content is growing roughly between 2 and 3 percentage points year over year. We are leveraging our order book to gain share.
What is your outlook for the major global markets?
China is developing positively. The U.S. is relatively stable, so things are improving there. Europe, meanwhile, remains volatile. There is uncertainty about the implications the region may face from the energy situation this winter. Overall, we will remain on high alert and continue to be flexible because COVID lockdowns and supply constraints also continue to cause concern.
What effect has Autoliv felt from the chip crisis and what steps have been taken to offset this?
While we are not a very large semiconductor user, we do have chips in our products. To offset the shortage, we set up a task force in our supply chain team that has been quick and proactive. They have been in close contact with our suppliers and our customers to make sure we secured what we needed to fulfill our orders.
Were Autoliv's chips given priority because they are so essential to safety equipment that has to function in a car?
I can't say that we have seen or felt that we have been prioritized, but you either deliver a car with full functionality on the safety side, or you don't deliver the car at all. Also, we have seen that some automakers and suppliers have reduced other functionalities in the car that are not as essential to the overall performance. But there has not been a direct connection to us when it comes to those decisions. We have been fighting just as hard as everyone else to get our chips.
What do you mean when you say Autoliv is not a large user of chips?
I mean that compared with manufacturers of electrical and electronics components. We are a mechatronic supplier, which means we have electronic components in our products that communicate with the vehicle. For example, a steering wheel with autonomous driving functionality will have more semiconductors than a traditional steering wheel.
How does Autoliv feel about automakers such as BMW developing direct relationships with chipmaker and is this something you also plan to do?
We have some direct relationships with chip suppliers. The more standardized the chip is the more likely it is that we would have a direct dialog with the semiconductor maker. When the chip is more unique and for a specific automaker then that relationship is managed by the automaker. It really depends on the product and the uniqueness of the feature. Ultimately, we want to have a solution that creates the best value for our customer.