As “China speed” becomes an unavoidable reality for the global automotive industry, Tier 1 suppliers are undergoing a profound period of self-reflection.

For FORVIA HELLA, the century-old leader in automotive lighting and electronics, the question is critical as well: should it continue relying on the established operating logic of the globalization era, or proactively dismantle organizational barriers and place real decision-making authority into the hands of frontline teams?

In a recent interview with Gasgoo, Dr. Peter Laier, CEO of FORVIA HELLA, offered a clear answer: “You cannot wait for headquarters to approve everything, especially when you are trying to keep pace with China speed.”

The executive, who officially assumed the CEO role in February this year, summarized his top priorities into three core directions: further advancing the company’s internationalization, ensuring sustainable and profitable growth, and maintaining leadership in innovation.

At the intersection of these three priorities, the Chinese market has been assigned unprecedented strategic importance.

“This is like a fitness center for the global market,” Dr. Peter Laier remarked. “Operating in such a highly competitive and fast-evolving environment makes us stronger.”

Evolution Inside the “Fitness Center”: Speed, Empowerment, and Strategic Discipline

FORVIA HELLA’s understanding of the Chinese market has long evolved beyond viewing it merely as a “growth engine.”

In Dr. Peter Laier’s view, China leads the world in the pace of electrification, the development of connected ecosystems, and the speed of iteration in electronic and electrical architectures. This means that if a company cannot outperform the cycle in China, it will be difficult to maintain a leading position globally.

In responding to “China speed,” the company has already delivered tangible results. Dr. Peter Laier revealed that in China, FORVIA HELLA can now bring a new product from initial concept to mass production in less than one year.

Behind this achievement lies the company’s systematic adaptation to the pace of the Chinese market.

More importantly, however, the most significant transformation has taken place at the organizational level.

According to Dr. Peter Laier, the company has introduced a new internal principle: “Guide, Power, Recognize.” 

This marks a sharp contrast to the traditional headquarters-driven model common among Western corporations. Whereas decisions were once made centrally, the China team has now been granted an unprecedented degree of autonomy.

At the same time, Dr. Peter Laier emphasized that empowerment must always be accompanied by accountability: as teams gain greater decision-making authority, they must also take full responsibility for the final outcomes of their work.

For him, however, providing the right strategic guidance from the top remains an essential responsibility.

“This is a process of gradual evolution. And precisely for that reason, top-level guidance is critically important.”

FORVIA HELLA has also found its own rhythm in balancing cost and efficiency.

Dr. Peter Laier explained that the company continues to optimize costs through three primary approaches: advancing deep localization, adopting process designs specifically geared toward cost optimization, and learning from local partners.

Through these efforts, FORVIA HELLA is able to consistently deliver affordable innovations and remain a preferred partner for customers.

Yet even as cost optimization continues, quality remains a top priority.

“We place tremendous importance on quality,” Dr. Peter Laier emphasized. “Today, across the dimensions of speed, innovation, and quality, we are already on a healthy path of development.”

Not Only About Premium Technology, But Also About Accessibility

Innovation, according to Dr. Peter Laier, is a core capability “embedded in FORVIA HELLA’s DNA.” Yet this is far more than a rhetorical statement; it is reflected in the company’s concrete choices regarding technological direction.

In automotive electronics, as the rise of the “software-defined vehicle” and the deep convergence of electrification and intelligence reshape electronic and electrical architectures, FORVIA HELLA has not blindly pursued every emerging trend. Instead, after careful evaluation, the company chose to focus on zone controllers — an area where it believes its technological expertise can be leveraged most effectively.

iPDM; image source: FORVIA HELLA

The company has already developed an intelligent Power Distribution Module (iPDM), as well as an intelligent configurable fuse solution known as iConF. The latter is based on fully electronic fuse (eFuse) technology, with core control ultimately realized through ASICs (Application-Specific Integrated Circuits).

Dr. Peter Laier predicts that the technological sophistication and value of each individual component will increase significantly. FORVIA HELLA aims to secure a strong position within this high-value segment.

In lighting — one of the company’s traditional strengths — innovation has likewise continued unabated.

SSL|HD lighting module; image source: FORVIA HELLA

In response to automakers’ growing reliance on lighting signatures to build brand identity, FORVIA HELLA has introduced its high-definition matrix SSL|HD lighting module. Each headlamp contains around 25,000 individually controllable pixels with precise adjustment capabilities, while the entire module is only the size of a fingernail.

Another standout product is the “Front Phygital Shield,” which combines physical and digital functionalities. Beyond its lighting capabilities, it also integrates sensors such as radar systems to enhance driving safety and advanced driver assistance functions.

Notably, Dr. Peter Laier specifically emphasized that “innovation is not limited to high-end or highly complex technologies; developing affordable and widely accessible innovations is equally important.”

This philosophy runs throughout the company’s three major business areas — automotive lighting, automotive electronics, and lifecycle solutions — enabling FORVIA HELLA’s innovation to embody not only technological sophistication, but also practical relevance and accessibility.

Building Supply Chain Resilience and Empowering Global Expansion

Geopolitical volatility and the lessons learned from post-pandemic supply chain disruptions have made “resilience” an essential discipline for every automotive company.

FORVIA HELLA’s response strategy is both clear and pragmatic: prioritize a “local for local” approach, establish dual-source supply chain backups, and ensure the security of supply routes.

Dr. Peter Laier acknowledged that implementing these measures does require additional effort from companies, but stressed that this is a challenge suppliers must confront head-on.

He predicts that the dominant model in the future will be a mixed supply chain structure — partly serving global markets, and partly deeply rooted in regional ecosystems. Within that model, “local for local” will carry increasing weight.

This supply chain resilience, in turn, has become an “invisible asset” for Chinese automakers accelerating their global expansion.

Dr. Peter Laier believes that FORVIA HELLA is “an exceptionally suitable partner” for supporting Chinese automakers in their overseas growth.

This confidence is not without foundation. FORVIA HELLA has already established strong partnerships with numerous Chinese automakers, whose teams are familiar with the company’s working methods and quality standards.

At the same time, the company’s globally distributed R&D centers and manufacturing facilities enable it to provide localized technical support and production capacity close to customers’ overseas operations.

More importantly, years of practical collaboration have demonstrated that FORVIA HELLA possesses a deep understanding of how Chinese automakers operate, enabling it to effectively bridge Chinese customers’ development pace and operational logic with local regulations, supply chains, and cultural environments overseas.

At its core, FORVIA HELLA’s strategic choice represents a renewed interpretation of “longtermism”: it does not reject speed, yet neither is it controlled by speed; it embraces change, yet never abandons its foundations.

At a time when many companies either lose direction in the relentless pursuit of speed or miss opportunities through excessive caution, this century-old company has found its own middle path — one that is both fast and steady; both local and global; respectful of tradition, yet bold enough to reinvent itself.

There are no shortcuts on this path, but this century-old enterprise is proving through action that it has the endurance to win the long race.

In addition, Dr. Peter Laier also discussed a range of topics including the future application of artificial intelligence, sustainability strategies and green factory practices, strategic advice for Chinese automakers expanding overseas, and the company’s long-term vision.

For more details, please refer to the full interview video.