Car safety equipment maker Autoliv looks to expand in the new high-tech areas as demand for safety products is expected to increase.
Autoliv Chief Executive Jan Carlson said that the company plans to expand in the new high-tech products which can help vehicles avoid accidents, such as radar and sensors, but that there are only several companies that want to sell.
“This is a growth area and many see opportunities and growth and therefore they don’t sell,” he said in an interview. “There are always discussions back and forth, but there is nothing obvious. We’re looking a lot at the sensor field. But we’re also looking at electronic stability control and chassis systems.”
If the company managed until now to avoid the negative effects on the European crisis thanks to the global spread of its business, Autoliv has begun to feel the impact of the steep drop in auto sales in the region. In January the company said it expects sales to fall 4% during the first quarter due to the sluggish sales in the Old Continent.
“There are few positive signs in terms of coming to grips with the situation (industry overcapacity),” Carlson said. “I respect that it is difficult, but if the demand is not there that doesn’t help. You have got to handle the problem anyway.”