There’s little question that 2020 has been a difficult 12 months for the automotive sector, with the coronavirus pandemic exacerbating the continuing points brought about because of Brexit.
Nevertheless, the trade has additionally proven super resilience, rising from the financial depths of March and April of final 12 months to ship year-on-year development in new-vehicle gross sales throughout China, Europe and the US.
Nevertheless, additional experiences counsel that gross sales in Europe and stateside received’t rebound till pre-Covid ranges till 2023 no less than, creating a spot available in the market that China might effectively have the ability to exploit.
However what’s anticipated for the market over time, and the way can particular person garages and mechanics look to future proof their companies going ahead?
Recognising the Rise and Rise of Electrical Autos
Regardless of the preliminary gross sales decline by means of Q1 and Q2 2020 (and the truth that demand stays far under pre-pandemic ranges), electrical autos have develop into more and more in style throughout the identical reporting interval.
Globally, the gross sales of electrical automobiles accelerated at an unbelievable tempo in 2020, rising by 43% to greater than three million.
The UK market is especially excessive development, with practically 280,000 pure-electric autos on UK roads by the tip of June 2021. Moreover, you’ll discover in extra of 570,000 plug-in fashions reminiscent of hybrids (PHEVs) on the roads, with these numbers prone to improve incrementally over time.
This could come as a stark warning to storage homeowners and mechanics, who should equip themselves to deal with electrical automotive repairs on a big scale in the event that they’re to stay aggressive.
Keep in mind the shift in the direction of electrical autos has been incremental ever since 2012, and whereas the profile of latest registrations might have modified over the course of the final decade, this pattern is unlikely to abate anytime quickly.
Investing in Sustainable Supplies and an Automated Workforce
The evolution of the automotive trade has been characterised by a transfer in the direction of sustainable manufacturing, so sourcing eco-friendly supplies and gear is one other essential step for garages.
One of many key focuses has been on lowering the extent of CO2 used as a part of the manufacturing course of, with innovation, recyclers and metallurgists having helped to perform this goal.
The query for garages is how can they go about sourcing sustainable supplies within the fashionable age? Effectively, the important thing lies in negotiating a clear and aggressive cope with suppliers, and this may be finished by securing a futures contract. A key factor of futures buying and selling within the UK permits garages to purchase in provides at a set worth all through a contract, permitting far higher consistency within the course of.
By making these delicate operational modifications and incorporating automated processes into your every day operations (which in flip frees up expert operatives to undertake extra worthwhile work), corporations can future proof themselves and assume a vital position within the international automotive trade.
