Company: CPS
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001320461-25-000131
Chunk: 51

Company: Cooper-Standard Holdings Inc.
Filing Date: 2025-08-01
Form: 10-Q
Item: Part I, Item 1
Chunk 51
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 differences between actual results and those contemplated by forward-looking statements include, but are not limited to, those discussed below and in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 filed with the U.S. Securities and Exchange Commission (“2024 Annual Report”), including Item 1A. “Risk Factors.” The following should be read in conjunction with our 2024 Annual Report and the other information included herein. Our discussion of trends and conditions supplements and updates such discussion included in our 2024 Annual Report. References in this quarterly report on Form 10-Q (the “Report”) to “we,” “our,” or the “Company” refer to Cooper-Standard Holdings Inc., together with its consolidated subsidiaries.

Executive Overview 

Our Business

We design, manufacture and sell sealing systems and fluid handling systems (consisting of fuel and brake delivery systems and fluid transfer systems) for use primarily in passenger vehicles and light trucks manufactured by global original equipment manufacturers (“OEMs”). We are primarily a “Tier 1” supplier, with approximately 86% of our sales in 2024 made directly to major OEMs for installation on new vehicles.

Recent Trends and Conditions

General Economic Conditions and Outlook

The global automotive industry is susceptible to unpredictable economic conditions that can adversely impact new vehicle demand and production. Business conditions can fluctuate significantly across different periods and regions. In 2024, light vehicle production experienced a modest slowdown, primarily due to rising inventory levels, relatively high interest rates, concerns about affordability, and ongoing geopolitical tensions worldwide. However, global commodity markets and pricing stabilized to a large degree in 2024, providing some support to the manufacturing sector. In the first half of 2025, global production increased by approximately 3% compared to the same period in 2024. Despite this positive trend in production for the first half of 2025, we expect global production for the full year 2025 will remain flat compared to full year 2024, with declines in North America and Europe being offset by increases in China. Additionally, ongoing changes in U.S. trade policy, including the implementation of significant tariffs on imported goods, are contributing to economic risks and global uncertainty, potentially posing further short-term challenges to the automotive industry.

In North America, U.S. consumer confidence has started to improve but remains below the levels seen in December 2024 following the presidential election, and significantly lower than pre-global pandemic levels. Uncertainty surrounding U.S. trade policy, particularly the implementation of