According to PwC’s “Deep Integration of the Global Auto Parts Industry” report, it is estimated that the total global auto parts M&A transaction will reach US$44 billion in 2019.
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New report: Mergers and acquisitions in the auto parts industry are strong, totaling $44 billion
The global auto parts industry M&A transaction activity continues its strong upward trend. PwC’s “Global Automotive Parts Industry Deep Integration” report states that the total global auto parts M&A transaction is expected to reach 44 billion in 2019. In the past four years, the total annual transaction volume has exceeded $50 billion. In addition, if the auto-driving technology-related equity investment transactions are included, the total transaction amount this year may exceed $50 billion.
In the top 100 global auto parts companies, Japanese companies are leaders in integrated trading. Japanese companies took the lead in “acquisition of the acquirer” (measured by financial and operational performance), largely due to electronics suppliers’ large-scale M&A transactions in lighting and technology systems, autonomous driving and semiconductors. Japanese companies are expected to remain active in future M&A transactions.
And on the other hand…
Editor-in-Chief: In the context of the automotive industry’s development towards intelligence and electrification, the auto parts industry has also ushered in an important transition period. According to the Deloitte report…