As the automotive revolution gathers pace, new opportunities arise

Louise Smyth

With the global market for electric vehicles (EV) growing at approximately 60 per cent per year since 2014, the current narrative points to an automotive industry that is set to enter a period of wide-ranging and transformative change. However, if companies want to have a successful, long-term future then key strategic decisions need to be made with caution over the next 18 months as sales continue to shift and regulations tighten.

TR Fastenings was recently invited by The Society of Motor Manufacturers and Traders (SMMT), Santander Corporate & Commercial and the Department for International Trade (DIT) to be part of a delegation of UK suppliers to address 95 companies in Warsaw, Poland, to discuss the wider evolution of the automotive sector.

Poland has a large base of automotive suppliers at each stage of the supply chain and automotive manufacturing is one of the largest industrial sectors in the country, accounting for 11.0 per cent of sold production value in this part of its economy.

What challenges do automotive OEMs face? 

The expectations of the customer have changed. Due to the waning of product differentiation and a general increase in vehicle quality throughout the sector, customers are becoming less loyal to a specific brand and expect more high-end features to be standard. 

However, many automotive customers have specific needs in terms of product and in order to help customers maximise a component’s full potential, TR’s team of Application Engineers work closely with their Tier 1 customers’ design engineers. TR’s philosophy is to localise their parts and supply base and offer lean supply solutions close to their facilities. A global presence and market expertise enables the company to support Tier 1 companies on an international basis, leveraging volumes and simplifying supply chains.