Valeo’s Strategy Built on Sustainability Trends – SME
Valeo, one of the world’s leading automotive suppliers, has launched a “Move Up” plan to increase original equipment sales by 13 percent per year for the 2021-2025 period.
The company’s growth strategy is designed to take advantage associated with hyper-growth market trends starting to emerge in the particular fields of electrification and automation, focusing on major changes in four areas: Electrification, ADAS (advanced driver assist systems), Interior Design, and Lighting. Valeo’s business groups are leaders in each area with global manufacturing footprints supported by proven operational efficiencies plus an international R& D network.
ELECTRIFICATION: With the integration of Valeo Siemens eAutomotive into the company’s Powertrain Systems Group, Valeo is developing a comprehensive offering associated with low- and high-voltage plus electric powertrain solutions. Between 2021 and 2030, high-voltage solutions in the electric vehicle (EV) market are expected to record annual growth rates of nearly 18 percent.
Longer term, the company’s expertise in 48V systems will allow it in order to seize development and diversification opportunities in other areas, such as electric bicycles, scooters, three-wheelers in Asia and robo-taxis. Valeo is working with 14 bicycle manufacturers on 48V automatic gearbox technology, for example , along with planned delivery of more than 100, 000 units to customers by 2024.
Electrification will be also the driver for Valeo’s Thermal Systems Business Group. The unit develops interior and battery management solutions, giving the company a further edge within the field of efficient electrification.
ADAS: Valeo provides clients with the particular most comprehensive portfolio associated with sensors in the market, including components, sensors, domain and zone controllers, plus functional software that offers active safety features and enables automation up to Level 4.
By 2025, three in four new cars will be fitted with technologies that support Level 1, 2 or 3 software. The projected acceleration within ADAS will certainly enable Valeo to double its product sales in this business simply by 2025, representing average annual growth of nearly 20 percent. Valeo already offers sold more than 1 . 5 billion ADAS sensors, and expects to sell more than 3 billion dollars over the next five years.
INTERIOR EXPERIENCE: ADAS and electrification are leading to a “reinvention” of the automotive interior experience. Valeo’s Comfort & Driving Assistance Systems Company Group has the hardware plus software needed to meet a growing demand for a safer, a lot more immersive, and more connected driving experience. The company plans to grow its sales from one 2 billion euros in 2021 in order to more compared to 2 billion dollars euros within 2025.
LIGHTING: The elimination associated with radiator grilles and internal combustion engine cooling systems provides given designers an opportunity to rethink the front-end design of many EVs and assert brand identity through a variety of new lighting features. Lighting also is used in and around new vehicles to improve communications between the car and its surroundings plus enhance inside comfort, as well as to bolster branding.
2022-2025 Performance Expectations
After two years impacted by the COVID-19 crisis and electronic component shortages, Valeo expects to take full advantage of a recovery in forecast volumes with regard to 2022-2025. Assuming global auto production associated with approximately 98. 5 million vehicles in 2025, corresponding to an annual growth rate of 6. 3 percent over the five-year period, the organization aims to develop its own original equipment product sales by about thirteen percent.
Valeo’s Move Up plan for 2021-2025 underlines the company’s commitment to meeting long-term development and value-creation objectives through its unique ability in order to take advantage of megatrends that are shaping the industry. It also reaffirms Valeo’s dedication to sustainable mobility plus combating worldwide warming.