Linamar Corporation Provides Commentary on External Market Conditions

GUELPH, ON, April 11, 2022 /CNW/ - Linamar Corporation (TSX: LNR) today released insights regarding the market activity observed during Q1 2022, as well as commented on other recent industry developments. The comments provide updates on the latest available industry conditions in the key Access, Agriculture and Mobility markets in which it operates. 

Highlights:

• In the Mobility segment:
• Q1 global light vehicle production forecast decreased by 460,000 units in line with expectations. 2022 full-year forecast revised down by 2.6M units.
• Forecast production downgrade primarily concentrated in Europe. North America and Asia Pacific relatively unchanged.
• The forecast downgrades are a direct result of the Russian invasion of Ukraine
• In the Industrial segment:

Agriculture

• North America combine retails down 27% Feb. YTD, driven primarily by supply side constraints.
• Supply chain disruptions continue to impact our ability to meet market demand.
• Agricultural commodity prices and farm incomes continue to grow, driving demand.  

Access Market

• AWP global market up 68% versus prior year.
• Supply chain disruptions continue to impact our ability to meet market demand.
• In supply chains:
• Significant supply chain constraints are impacting our ability to ship to meet market demand as well as margins in terms of higher materials, commodity, energy, and logistics costs.

A presentation deck highlighting the details is available and has been posted to Linamar's website today at www.linamar.com/investors under the section titled Reports, Presentations and Public Filings, or directly through the following link https://www.linamar.com/wp-content/uploads/2022/04/Q1-2022-Mid-Quarter-Market-Update.pdf.    

Linamar Corporation (TSX: LNR) is an advanced manufacturing company where the intersection of leading-edge technology and deep manufacturing expertise is creating solutions that power vehicles, motion, work and lives for the future. The Company is made up of two operating segments – the Industrial segment and the Mobility segment, both global leaders in manufacturing solutions and world-class developers of highly engineered products. The Industrial segment is comprised of Skyjack and MacDon. Skyjack manufactures scissor, boom and telehandler lifts for the aerial work platform industry. MacDon manufactures combine draper headers and self-propelled windrowers for the agricultural harvesting industry. The Mobility segment is subdivided into three regional groups: North America, Europe and Asia Pacific. Within the Mobility segment, the regional groups are vertically integrated operations combining expertise in light metal casting, forging, machining and assembly for both the global electrified and traditionally powered vehicle markets. The Mobility segment products are focused on both components and systems for new energy powertrains, body and chassis, driveline, engine and transmission systems of these vehicles. In addition to the recently formed eLIN Product Solutions Group that focuses on Electrification, McLaren Engineering provides design, development, and testing services for the Mobility segment. Linamar has 26,000 employees in 60 manufacturing locations, 11 R&D centres and 25 sales offices in 17 countries in North and South America, Europe and Asia, which generated sales of $6.5 billion in 2021. For more information about Linamar Corporation and its industry-leading products and services, visit www.linamar.com or follow us on our social media channels.

SOURCE Linamar Corporation