Suppliers expect significant EV impact with majority anticipating negative affect
Research Triangle Park, N.C.—Many AASA supplier members believe that the electrification of vehicles will impact their businesses within the next 10 years and, of those expecting an impact, the majority expect that impact to be negative, according to the results of the Q3 2017 Supplier Barometer survey conducted by the Automotive Aftermarket Suppliers Association (AASA).
“Although the majority of AASA Barometer survey respondents are concerned about the impact from electrified vehicles, the majority also report preparations are underway to respond to new market demands,” said Bill Long, AASA president and chief operating office.
Each quarter, AASA surveys its supplier member on market outlook, pricing, gross margins, inventories, capacity and more. In addition, the association includes special questions each quarter regarding current industry trends and topics. For Q3 2017, AASA’s Barometer survey included questions about electrified vehicles (EV) to learn how engaged members are with that technology and how it is affecting their product planning.
“About one-quarter of those expecting an impact report having the products needed to capture sales as EV takes hold,” said Paul McCarthy, AASA executive vice president. “Nearly 50 percent more report their companies have started or are planning R&D initiatives to take advantage of the opportunities presented by EV.”
Philip Atkins, AASA director, strategic research & planning, added, “Although it is too soon to say that the age of the electric vehicle is upon us, it is safe to say that suppliers have begun EV preparations.”