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By Counterman
The Charles Dickens classic “A Tale of Two Cities” produced one of the most famous opening lines in all of literature: “It was the best of times, it was the worst of times … ”
More than 150 years after “A Tale of Two Cities” was published, the phrase is an apt description of what life has been like for aftermarket suppliers, distributors and retailers during the COVID-19 pandemic.
As Paul McCarthy, president and CEO of the Automotive Aftermarket Suppliers Association (AASA), kicked off the 2022 AASA Vision Conference in Dearborn, Michigan, he observed that the line “rings true in this age of uncertainty.”
“It has been some of the hardest times to simply do our jobs – to just get our products to the customer – yet it has also been some of the greatest prosperity that the aftermarket has ever experienced,” McCarthy said.
Stimulus-driven DIY sales have led to the best of times for the aftermarket’s publicly traded parts retailers, and they reported record growth in 2020 and 2021. At the same time, supply chain disruptions have made it challenging for some suppliers and distributors to get their hands on parts and raw materials.
“Typically, part of our industry’s appeal is our slow, steady, reliable growth – our consistent cash-flow generation,” McCarthy said. “During the pandemic, we seem to have found another level of demand for our products. And we’ve also been in a battle for availability. The reality over the last two years is that if you could get the part to the customer, they would likely buy it.”
While the past two years have been prosperous for many aftermarket participants, it’s also been the worst of times in the sense that the economy has been hit with “a flock of black swans.” Even before this once-in-a-century pandemic hit, the aftermarket was grappling with tariffs on imported Chinese goods as well as the biggest changes to U.S. trade policies in decades.
“We haven’t had a supply chain disruption of this magnitude for 75 years,” McCarthy said. “It’s been over 40 years since we’ve seen inflation like this. It’s been decades since we’ve seen a job market this tight. If that wasn’t enough, members tell us that we’ve experienced some of the highest levels of government intervention in the aftermarket, maybe in our history.”
On top of that, there’s a land war in Europe, and U.S.-Sino relations are as tense as they’ve been in decades. Potential curveballs on the horizon include more interest-rate hikes, gas-price increases and the specter of Russian cyberattacks.
Still, although it’s “an environment where it may not be easy for us,” it’s one “where we can do very well.”
“Our ability – despite all these obstacles – to fill orders, to keep our businesses running, to sustain our teams, to work together up and down the value chain, it’s frankly amazing how well the aftermarket has performed,” McCarthy added. “It proves our resilience and our endurance. So don’t expect things to get any easier, but the aftermarket and aftermarket suppliers, we’ve shown that we matter.”
A New Golden Age?
Despite all the “bumps in the road,” McCarthy posed this question to AASA Vision attendees: “Is there a chance that these strong sales that we’ve seen are not a blip, that instead they are the start of a new golden age?”
“The transformative cultural shifts that we’re seeing as a result of the pandemic, we think they bode well for the future of the aftermarket – that we are leaving the pandemic with a more auto-centric lifestyle than when we went into it,” McCarthy asserted.
To buttress his point, he noted that used-car prices are higher than they’ve been since World War II; there are more than 280 million vehicles in operation in the United States; and the miles-driven recovery “has exceeded all forecasts.”
With commuters and travelers still fearful of mass transportation, “Americans are moving toward more car-centric locales and lifestyles,” he added.
“We see it in consumers’ desire for more space. We see it in the house prices, in people moving to the West, to the South, to smaller cities, to exurbs. Coming out of COVID, where most Americans now seem to want to live, they need a car or a third or a fourth car. They need us, the aftermarket.”
While technology might be a source of angst for some, “this unstoppable march of increasing vehicle content has been incredibly powerful for the aftermarket ticket,” McCarthy declared. “And we think that will continue.”
And the increasing in-vehicle connectivity “is making our time in the car more entertaining, more productive, more appealing.”
“We would argue that this is a global opportunity that the pandemic underscored to consumers around the world: the safety, the appeal of individual transport and the freedom that it brings. So we think we could look back in 2040, 2050, and say that this was the start of a new golden age of transportation. And we could say that we grabbed this opportunity and we created new ways forward.”
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By janetteK
anyone interested in changing steering wheel or cover for Tesla Model 3/Y? we got it!
please check out our website, all parts can be customized for defferent colors and materials
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By Counterman
First Brands Group has introduced new part numbers to its premium-quality Raybestos line in the categories of brake friction, rotors, calipers, master cylinders and brake cables.
More than 100 new Raybestos part numbers are now available for domestic and international nameplate late-model and luxury vehicles, including 2020, 2021 and 2022 coverage for Buick, Ford, Honda, Hyundai, Jaguar, Jeep, Mazda, Mercedes-Benz, Nissan, Ram, Scion and Toyota.
The just-released parts include Raybestos Police brake-pad coverage for 2021 and 2022 Ford Explorer and Police Interceptor utility vehicles, as well as new coated-rotor numbers for popular 2022 truck, SUV and passenger-car applications, including Ford F-150, Nissan Sentra and Honda CR-V.
“We are always proud to introduce new part numbers and this time is no exception,” said Kristin Grons, director of marketing, First Brands Group. “With the introduction of specialty brake pads for in-demand police vehicles, coated-rotor coverage for newer passenger vehicles, and a wide range of carry-up coverage, our customers will have the Raybestos parts they need for more late-model vehicle repairs.”
The complete family of Raybestos brake products include disc pads and shoes, drums and rotors, master cylinders, wheel cylinders, calipers, hubs, hoses, and hardware. To learn more about new part numbers and their applications, customers should contact their First Brands Group representative.
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By basicautopart
Encountering a car breakdown or auto part malfunction can be really stressful and can make you go on a hastened search for the best replacement parts. If you have an Acura then opting for original replacement auto parts can prove to be highly expensive and you may have to wait days to get the auto part delivered to you due it’s unavailability in a service center near you. Basic Auto Parts helps you overcome these challenges by offering perfectly matched high quality used Acura auto parts at inexpensive prices and from a supplier or automotive recycler near you.
We have an inventory of over 350 million used auto parts and all you have to do to find the right one is select the year, make, model and part. We help you directly contact verified buyers so that you can get the used auto parts delivered to your door step faster! What’s even better is that we offer the most comprehensive Parts by Brand/ Car make search so that you get only the best suited used auto parts online for your vehicle.
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By basicautopart
At Basic Auto Part, we carefully match your preferences and requirements against the used auto parts in our inventory to get you exactly the part you need to make your vehicle work like new. We offer any used OEM Acura auto part online that you may require, but we specifically stock some that are in high demand. Most engines require a replacement within 20,000 miles, if your Acura does too then we are the ones for you! We provide used engines that are tested and have a warranty of 1 year so that you can rest assured your replacement auto part will last.
ABS pumps also tend to present complaints of leakage and need to be replaced, we offer the best quality used Acura ABS pumps for your vehicle. The Acura ECM or ECU is another part that can fail due to programming issues or water damage, Basic Auto Part offers high quality Acura ECMs to suit the need of your vehicle and are tested for durability. Acura Transmissions are another commonly in demand used auto part and we stock them in great numbers so that we can help our customers whenever the need arises so that their car can be as good as new at the earliest!
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