Jake Coleman

Jake Coleman inquired about Magna's plans for incremental megatrend and EV investments, asking if there's been any change in strategy due to recent customer EV announcements. He also asked about Magna's positioning regarding Chinese vehicle exports, viewing it as an opportunity or a potential source of friction.

Answer

CEO Seetarama Swamy Kotagiri stated there is no change in strategy, emphasizing optimization of engineering and capital investments. He noted significant capital investments for EV product lines in Body Exteriors & Structures (BES) are largely complete, and platform development for engineering is substantially behind, with current focus on recoverable application spend. He explained that Magna's strong presence in China, with 65% of revenue from Chinese OEMs, positions it to grow with them globally as they expand, viewing it as an opportunity.

Jake Coleman asked about Magna's plans for incremental megatrend and EV investments for the current year and beyond, and if there's been any change in strategy due to recent customer EV announcements. He also inquired about Magna's positioning regarding Chinese vehicle exports, viewing it as an opportunity or a potential source of friction.

Answer

CEO Seetarama Swamy Kotagiri stated there's no change in strategy, with significant capital investments in Body Exteriors and Structures (BES) for EVs largely behind them. Engineering platform development is substantially complete, with current application spend optimized and recoverable. Regarding Chinese vehicle exports, Swamy sees it as an opportunity, given Magna's presence in China and its ecosystem, allowing them to grow with Chinese OEMs as they expand globally.