Sypris Secures Long-Term Contract to Supply Drivetrain Components to Global Truck OEM.

Sypris Technologies has secured a long-term contract to supply drivetrain components for a global truck OEM's electric vehicles. Initial deliveries will begin in 2026 and align with the OEM's decarbonization goals. This collaboration marks a significant step in Sypris' expansion into the EV market and underscores its commitment to sustainable solutions in the automotive industry.

Sypris Technologies, Inc. (SYPR), a subsidiary of Sypris Solutions, Inc., has announced a significant milestone in its expansion into the electric vehicle (EV) market. The company has entered into a long-term agreement to supply drivetrain components for a leading global truck original equipment manufacturer (OEM). Initial deliveries are expected to commence in 2026, aligning with the OEM's decarbonization objectives [1].

The contract, which positions Sypris as the sole North American source for these components, underscores the company's commitment to sustainable solutions in the automotive industry. The design of the new drivetrain components was the result of close collaboration between Sypris and the OEM, leveraging the resources of Sypris' Development Center to meet stringent performance, weight, cost, and durability specifications [1].

Sypris' stock has responded positively to the news, with shares rising by 21% to $2.45, hitting a 52-week high of $3.72 on January 6, 2025, and up 30% over the past 12 months [2].

The agreement represents a strategic step for Sypris, as it continues to meet the needs of the industry after more than 90 years of service. Sypris' portfolio spans commercial and recreational vehicles, automotive, mining, agriculture, industrial, and energy markets, making it a premier manufacturer and supplier of critical components [1].

References:

[1] https://finance.yahoo.com/news/sypris-awarded-long-term-contract-123000778.html
[2] https://www.marketwatch.com/story/sypris-solutions-shares-rise-after-deal-to-supply-drivetrain-components-76111596