Original equipment manufacturer (OEM) Magna International is cutting its forecast for auto builds in Europe and North America by 2.6mn vehicles.
The company now expects 2022 light vehicle production to total 16.4mn vehicles in Europe, an 11pc decline compared to the prior estimate of 18.5mn and slightly higher than the 16mn vehicle builds in 2021. Magna estimates of those vehilce cuts that 900,000 have arisen as a result of supply disruptions from Russia's invasion of Ukraine that began in February.
In North America vehicle builds are expected to decline by 500,000 units to 14.7mn vehicles in 2022, still an increase from the 13.1mn built in 2021.
The estimate for Chinese production is up by less than a percent or 200,000 vehicles to 24.4mn, a slight decline to 2021's 24.6mn vehicle builds.
In the first quarter, Magna estimated that global vehicle production was down by 7pc, with production down by 16pc in Europe, and 4pc in North America. In China, production increased by 3pc.
Magna earned $364mn in the first quarter, down by 41pc from $615mn from the same quarter last year.
