Kongsberg Automotive Cost Reduction Strategy Drives Profitable Growth

Kongsberg Automotive cost reduction strategy emerged as a decisive step to strengthen financial resilience while sustaining innovation-led growth. The company has executed disciplined cost actions aligned with evolving market conditions, ensuring efficiency gains do not dilute long-term technology leadership or customer commitments across key vehicle segments.
Kongsberg Automotive Cost Reduction Strategy and Operational Discipline
The Kongsberg Automotive cost reduction strategy has delivered annualized savings of EUR 42 million through structured programs focused on productivity, sourcing efficiency, and tighter cost governance. These actions are complemented by execution-focused measures that recalibrate the cost base to current demand cycles while preserving flexibility for future volume recovery.
By embedding cost discipline across operations, the company improves margin stability without compromising delivery performance. This balance allows Kongsberg Automotive to remain competitive in a price-sensitive automotive environment while continuing to support OEM expectations on quality, reliability, and scalability.
Targeted Investments Aligned With Kongsberg Automotive Cost Reduction Strategy
Alongside efficiency measures, Kongsberg Automotive continues to invest selectively in high-impact technologies. The Kongsberg Automotive cost reduction strategy is designed to free capital for innovation in product areas with strong demand visibility and long-term relevance across vehicle platforms.
Key focus areas include:

• Actuators for commercial vehicles, supporting durability, precision, and efficiency in demanding operating conditions

• Steer-by-wire systems for passenger cars, enabling next-generation vehicle control architectures

• Air couplings for commercial vehicles, enhancing reliability and ease of operation in fleet applications

These investments reinforce the company’s position in advanced motion control and chassis-related technologies while aligning product development with OEM roadmaps.
Execution, Innovation, and Market Alignment
The combination of disciplined cost management and targeted innovation reflects a clear execution mindset. Kongsberg Automotive is aligning its organizational focus with segments where technical differentiation and scale can deliver sustainable returns. This approach strengthens competitiveness across passenger cars and commercial vehicles while supporting long-term value creation in a rapidly evolving automotive ecosystem.
By synchronizing cost efficiency with growth investments, the company positions itself to respond effectively to market volatility, technology shifts, and customer expectations without sacrificing strategic momentum.