Ziya Özalp, Chairman of the Automotive After-Sales Products and Services Association (OSS), said, “The global break in the supply chain has also created a separate opportunity for the spare part manufacturers of our country, and that many spare parts production has shifted to our country, especially export markets, Turkey. It showed that Turkey is an important base in spare parts production.” used the phrase.
In his written statement, Özalp evaluated the 2022 performance and 2023 expectations of the automotive after-sales products and services sector.
Expressing that the automotive industry is a sector very accustomed to crises, Özalp said, “When we look at the last 10 years, many different factors have affected the automotive industry. We see that all these predicted and unpredictable factors make the automotive industry more durable and strong.” made a statement.
Stating that the break in the supply chain experienced in 2021 is a problem foreseen for the sector as we enter 2022, there will be a shortage of supply not only for chips but also for raw materials used in other vehicle production, and they foresee that the Russia-Ukraine war will directly affect automotive sales, Özalp said. As the aftermarket, we anticipated that this contraction in vehicle sales will make the automotive aftermarket more efficient, and we have experienced that in the long run, vehicles need more maintenance, repair and spare parts as they age.” made its assessment.
Özalp stated that the break in the supply chain creates an opportunity for Turkey and continued as follows:
“The global break in the supply chain has also created a separate opportunity for our country’s spare part manufacturers, showing that many spare parts production has shifted to our country and that Turkey is an important base in spare parts production, especially in export markets. Not only our manufacturers, but also many distributors. Our company has also started to expand their export markets and now they have started to establish distribution organizations not only in the Turkish market but also in the countries they export to. When we look at the foreign currency basis, our sector will close the year 2022 with a growth of more than 10 percent compared to 2021. As a result, our production numbers as the automotive after-sales market We can say that there has been a very serious increase in our exports, domestic market and employment figures.”
-“WE EXPECT A PARALLEL GROWTH IN 2023, LIKE 2022”
OSS Chairman of the Board of Directors Özalp stated that, while entering 2023, although the automotive industry talks more about the structural change in vehicles, internal combustion engine and hybrid vehicles are at the forefront in terms of quantity and percentage.
Expressing that they will closely follow this change in the automobile until 2030, Özalp said, “We think that 2023 will be a year in which growth-oriented efforts will be made for the automotive aftermarket, and the sector players will aim to grow in numbers as well as an inflationary growth. We expect a parallel growth similar to 2022.” made its assessment.
-“WE CAN SAY TURKEY HAS BECOME A SERIOUS MARKET FOR GLOBAL AFTER SALES”
Referring to the risks and opportunities that will come to the fore in Turkey and global markets in the new year, Özalp said:
“In 2022, we can say that Turkey has become a serious market for the global after-sales market, due to the production disruptions caused by the ongoing pandemic process, especially in the Far East, and the price increases in raw materials and sea transportation. Many distributor companies, especially European They shifted their contract manufacturing to our Turkish and global manufacturers in the after-sales market, while our domestic distributors continue to invest primarily in human resources and logistics centers, despite increasing costs. These developments reinforce the expectation that the after-sales market will continue to grow steadily in 2023, as it always does in the automotive industry. .
On the other hand, we can say that the biggest risk for our sector in 2023 is primarily economic uncertainty. In recent years, the operating expenses of both our manufacturers and distributors have been far, far above the budget estimates. Although it has reached a stagnant level, we can say that still high commodity prices, energy costs that reduce competitiveness, and difficulties in accessing finance are the primary risks for our country. We think that it is important for us to be competitive in order for the increase in export market shares that we have achieved in 2022 to be permanent, and for this, it is important that all policies are consistent, especially in the economy, and in relations with countries where Turkish brands are now fully accepted.”
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