The demand for our services is increasing. North American OEMs are responding to market pressures by launching new models and reducing their manufacturing costs for each vehicle. They are taking advantage of employees accepting buyouts, which enables them to transition their business to suppliers, such as Automodular, who are more specialized and do not have high legacy costs. The optimal time to transition sub-assembly work is when new programs are launching. There are many new vehicles launches anticipated over the next 3-5 years.
The automobile industry is the largest industrial sector and it offers plenty of new opportunities. Contrary to popular public opinion, North American manufacturers continue to lead the world in automotive innovation. The trend towards more fuel efficient and environmentally friendly vehicles offer still more opportunities for new vehicle launches.