Car parts group Forvia welcomes Volkswagen’s decision to drastically reduce the number of variants for both its vehicles and components, as this will reduce overall complexity for Forvia’s main customer and its suppliers, its chief executive said on Friday.
Volkswagen has pledged to halve its model lineup and reduce complexity in features like equipment options by up to 75% in the coming years.
“We welcome that step because overall it takes complexity out of the system, that we have faced as suppliers and that is definitely impacting the competitiveness of the VW products, and therefore our sales ultimately as well,” Forvia CEO Martin Fischer said in a call with analysts.
“So we fully appreciate that trend, and we feel we are very ready to compete in that space,” he added.
VW’s measures, announced earlier this month, are part of an ongoing restructuring drive under CEO Oliver Blume to cut costs and remain competitive against Chinese rivals.
