Car parts manufacturer Nifco UK has reported a sales reduction as the result of challenging trading conditions.
The company, which produces parts used for some of the world’s largest carmakers, saw sales drop to £71.1 million for the 12 months ending December 2018, down from £75.9 million in 2017.
DARRAN MOORE
The biggest single factor contributing to the year-end reduction in sales has been the impact of a main customer moving production of a new model from the UK to Slovakia in July 2018, which left a gap in sales for the second half of the year.
Furthermore, the automotive industry experienced an overall downturn in sales as a result of the diesel emissions scandal and the trade war between the US and China, in addition to the turbulence caused by continued Brexit uncertainty.
Jim Casey, Managing Director of Nifco UK, said: “It is disappointing, but not surprising, that the company has reported a drop in sales for the first time in a number of years as a direct result of the external market conditions we are operating in.”
“As I have said previously, challenges present opportunities for improvement and while this is a setback, for the team at Nifco, it is simply that, a setback.”
“We are working hard to continue to build on the strong relationships we have with our customers, we will continue to invest in product development and we will continue to invest in our people so we are in the best position possible to tackle whatever challenges we face.”
“This is not a case for major concerns, but one for positive action.”