About Commercial Vehicle Group

Commercial Vehicle Group, Inc. and its subsidiaries deliver real solutions to complex design, engineering and manufacturing problems while creating positive change for its customers, industries, and communities it serves. The company has manufacturing operations in the United States, Mexico, China, the United Kingdom, Belgium, the Czech Republic, Ukraine, Thailand, India and Australia. The company’s products are primarily sold in North America, Europe, and the Asia-Pacific region. The company primarily manufactures customized products to meet the requirements of the company’s customer. The company’s products are used by a majority of the North American Commercial Truck manufacturers, many construction vehicle original equipment manufacturers (‘OEMs’), parts and service dealers, distributors, as well as top e-commerce retailers. Segments The company operates in four segments: Vehicle Solutions, Electrical Systems, Aftermarket & Accessories, and Industrial Automation. The company’s segments offer various products which are sold into many end markets, such as internal combustion commercial vehicles, electric vehicles, construction equipment, power sports, industrial automation and military. Certain of the company’s facilities manufacture and sell products through multiple business segments. The Vehicle Solutions segment designs, manufactures and sells the following products: Commercial vehicle seats for the global commercial vehicle markets, including heavy duty trucks, medium duty trucks, last mile delivery trucks and vans, construction and agriculture equipment in North America, Europe and the Asia-Pacific. This segment includes a portion of the company’s activities in the electric vehicle market. Plastic components (‘Trim’) primarily for the North America commercial vehicle market and power sports markets; and Cab structures for the North American medium-duty/heavy-duty (‘MD/HD’) truck market. The Electrical Systems segment designs, manufactures and sells the following products: Cable and harness assemblies for both high and low voltage applications, control boxes, dashboard assemblies and design and engineering for these applications. The end markets for these products are construction, agricultural, industrial, automotive (both internal combustion and electric vehicles), truck, mining, rail and the military/ defense industries in North America, Europe and the Asia-Pacific. The Aftermarket & Accessories segment designs, manufactures and sells the following products: Seats and components sold into the commercial vehicle channels that provide repair and refurbishing. These channels include Original Equipment Service (‘OES’) centers and retail distributors, and are spread across North America, Europe, and the Asia-Pacific. Commercial vehicle accessories, including wipers, mirrors, and sensors. These products are sold both as Original Equipment and as repair products. Office seats primarily sold into the commercial and home office furniture distribution channels in Europe and the Asia-Pacific. The Industrial Automation segment designs, manufactures and sells the following products: Warehouse automation subsystems, including control panels, electro-mechanical assemblies, cable assemblies, and power and communication solutions. The end markets for these products primarily include e-commerce, warehouse integration, transportation and the military/defense industry. Vehicle Solutions segment Products Set forth below is a brief description of the company’s products manufactured in the Vehicle Solutions Segment and their applications. Seats and Seating Systems The company designs, engineers and produces seats for MD/HD truck, bus, construction, agriculture and military markets. The company’s seats are primarily sold fully-assembled and ready for installation. The company offers a wide range of seats that include mechanical and air suspension seats, static seats, bus seats and military seats. As a result of the company’s product design and product technology, the company is a leader in designing seats with convenience and safety features. The company’s seats are designed to achieve a high level of operator comfort by adding a wide range of manual and power features such as lumbar support, cushion and back bolsters, and leg and thigh support. The company’s seats are built to meet customer requirements in low volumes and produced in numerous feature combinations to form a full-range product line with a wide range of price points. The company’s seats are sold under multiple brands, including KAB Seating, National Seating, Bostrom Seating, and Stratos. Plastic Assemblies and Components The company designs, engineers, and produces plastic components and assemblies for MD/HD, power sports vehicles, specialty vehicle applications, and diversified markets. The company offers thermoformed products, injection molded products, reaction injection molded products (RIM), and decorated / hydrographic finished products. The company also assembles components and fabrics to these formed plastic parts and deliver complete subassemblies in bulk and sequenced VIN specific. The company’s principal products in this category include: Molded Products The company’s molded products include both large and small parts. Specific components include vinyl or cloth-covered appliqués ranging from a traditional cut and sew approach to a contemporary molded styling theme, armrests, map pocket compartments, and sound-reducing insulation. Instrument Panels The company produces and assembles instrument panels that can be integrated with the rest of the interior trim. The instrument panel is a complex system of coverings and foam, plastic and metal parts designed to house various components and act as a safety device for the vehicle occupant. Plastics Decorating and Finishing The company offers customers a wide variety of cost-effective finishes in paint, ultra violet, hard coating and customized industrial hydrographic films (simulated appearance of wood grain, carbon fiber, brushed metal, marbles, camouflage and custom patterns), and other interior and exterior finishes. The company’s plastic products are sold under several brand names, including FinishTEK and AdvancTEK. Cab Structures and Interior Parts The company designs, engineers and produces complete cab structures and interior design components for commercial vehicles. The company’s principal products in this category include: Cab Structures The company designs, manufactures, and assembles complete cab structures. The company’s cab structures, which are manufactured from both steel and aluminum, are delivered fully assembled and primed for paint. Cab Interiors The company designs, manufactures and provides a variety of interior design products, including armrests, grab handles, storage systems, floor coverings, floor mats, sleeper bunks, headliners, wall panels, and privacy curtains that can be part of the overall cab structure or standalone assemblies depending on the customer application. Electrical Systems segment Products Wire Harness Assemblies The company designs, engineers and produces a wide range of high and low voltage electrical wire systems for vehicles and subsystems, which include, Ethernet, battery cables and power distribution boxes. The company’s electrical wire harness assemblies function as the primary electric current carrying devices used to provide electrical interconnections for gauges, lights, control functions, power circuits, powertrain and transmission sensors, emissions systems and other electronic applications on commercial and other vehicles. The company’s wire harnesses are customized to fit specific end-user requirements and can be complex. The company’s production capabilities include low and high volume serial production with low and high volume circuitry, RIM (reaction injection molding) and specialized testing. Cable Harness Assemblies The company’s primary product offerings include engineering design for customized cable assemblies, control boxes, fuse boxes, dashboard assemblies in multiple sizes, complexity, and applications. The company’s engineering and production capabilities include virtual wiring boards, automatic plug insertion stations, system architecture and schematic development and prototyping. The company’s electrical systems segment products are sold into the construction, agriculture, industrial, e-commerce and electric vehicles, traditional automotive, mining, rail and military end markets. Aftermarket & Accessories segment Products The company designs, manufactures, and provides a variety of seats, mirrors, wipers and wiper systems sold into the commercial MD/HD truck, military and specialty power sports vehicles, electric vehicle, office and home office markets. These products are sold under various brands, including Bostrom, National Seating, Moto Mirror, KAB Seating (for both vehicles and Office markets), Sprague Devices and RoadWatch. The company’s aftermarket products are primarily sold through the Original Equipment Service (OES) sales channel and direct into the retail aftermarket as replacements for original equipment in North America, Europe and the Asia Pacific. Industrial Automation segment Products Electrical Systems, Control Panel Assemblies, and Electro-Mechanical Assemblies The company offers a wide range of material handling equipment, electrical distribution systems, and related assemblies primarily for the e-commerce, warehouse integration, transportation and the military/ defense markets. The company’s principal products in this category include: Control Panel Assemblies The company offers integrated assemblies and cabinets that are installed in industrial machinery equipment and transportation vehicles and may be integrated with the company’s wire harness assemblies. These components provide the user control over multiple operational functions and features. Electro-Mechanical Assemblies The company offers electro-mechanical assemblies, including box builds, complex automated and robotic systems, and large multi-cabinet control cabinets with power distribution, communication and cabling. The company’s service includes mechanical assembly, wire and cable routing, automated wire preparation capabilities, complex configurations, test and custom palletizing and crating solutions. Primary Industries Served Commercial Vehicle Market Commercial vehicles are used in a wide variety of end markets, including local and long-haul commercial trucking, bus, construction, mining, agricultural, military, industrial, municipal, off-road recreational and specialty vehicle markets. The commercial vehicle supply industry can generally be separated into two categories: sales to OEMs, in which products are sold in relatively large quantities directly for use by OEMs in new commercial and construction vehicles; and aftermarket sales, in which products are sold as replacements to a wide range of original equipment service organizations, wholesalers, retailers and installers. Additionally, the company is seeing a trend toward alternate fuel and electric vehicles, middle-mile and last-mile vehicle models. North American Commercial Truck Market Purchasers of commercial trucks include fleet operators, owner operators, governmental agencies and industrial end users. Commercial vehicles used for local and long-haul commercial trucking are generally classified by gross vehicle weight. Class 8 vehicles are trucks with gross vehicle weight in excess of 33,000 lbs. and Classes 5 through 7 vehicles are trucks with gross vehicle weight from 16,001 lbs. to 33,000 lbs. Separately, the company is seeing changes in e-commerce behaviors that are driving increased demand for middle-mile and last-mile vehicles. The following describes the major markets within the commercial vehicle market in which the Vehicle Solutions Segment competes: Class 8 Truck Market: The global Class 8 (‘Class 8’ or ‘heavy-duty’) truck manufacturing market is concentrated in three primary regions: North America, Europe and the Asia-Pacific. New Class 8 truck demand is cyclical and is particularly sensitive to economic factors that generate a significant portion of the freight tonnage hauled by commercial vehicles. Class 5-7 Truck Market: North American Class 5-7 (‘Class 5-7’ or ‘medium-duty’) includes recreational vehicles, buses and medium-duty trucks. The company primarily participates in the Class 6 and 7 portion of the medium-duty truck market. The medium-duty truck market is influenced by overall economic conditions but has historically been less cyclical than the North American Class 8 truck market. Commercial Truck Aftermarket: CVG has a widely recognized brand portfolio and participates in most retail sales channels, including original equipment dealer networks and independent distributors. Construction Equipment Market: The company primarily supplies OEMs with its wire harness and seating products. The company’s construction equipment products are primarily used in the medium and heavy construction equipment markets. The platforms that the company generally participates in include cranes, pavers, planers and profilers, dozers, loaders, graders, haulers, tractors, excavators, backhoes, material handling and compactors. Military Equipment Market: The company supplies products for heavy- and medium-payload tactical vehicles and complex military communications equipment over multiple product lines that are used by various defense customers. Industrial Automation Market: The company supplies material handling subsystems incorporated into automated warehouses. Sales and Marketing The company’s sales and marketing efforts are designed to create customer awareness of the company’s engineering, design and manufacturing capabilities. The company’s sales and marketing staff work closely with the company’s design and engineering personnel to prepare the materials used for bidding on new business, as well as to provide an interface between the company and its key customers. The company has sales and marketing personnel located in every major region in which the company operates. From time to time, the company participates in industry trade shows and advertise in industry publications. Research and Development The company’s research and development costs totaled $7.1 million for the year ended December 31, 2022. Intellectual Property The company’s major brands include CVG, Sprague Devices, Moto Mirror, RoadWatch, KAB Seating, National Seating, Bostrom Seating, Stratos, FinishTEK and AdvancTEK. The company owns the U.S. federal trademark registrations for several of the company’s product brands. Environmental Several of the company’s facilities are either certified as, or are in the process of being certified as ISO 9001, 14000, 14001 or TS16949 (the international environmental management standard) compliant or are developing similar environmental management systems. History Commercial Vehicle Group, Inc., a Delaware corporation, was founded in 2000. The company was incorporated in 2000.