Industry Analysis & Industry Trends
The Motor Vehicle Electrical and Electronic Equipment Manufacturing industry has suffered volatility and has struggled to keep profit margins up over the past five years. The recession has added to industry woes as downstream demand from car manufacturers crashed. The low demand led to even more volatility and many companies left the industry, unable to withstand the drop in demand. The aftermarket fared better, as motorists often need to replace essential parts whether or not there is a recession. However, demand from the replacement market also dropped during the crisis, especially for non-essential parts. Because of the low demand from most segments, industry revenue is expected to decline by an annualised 18.1% over the five years through 2012-13 to reach £480.7 million... purchase to read more
Industry Report - Industry Locations Chapter
Generally automotive component manufacturers are located close to OEMs and vehicle body manufacturers, creating automotive clusters. As a result, it is not surprising that the majority of industry operators are based in the West Midlands, the South East and North West. The West Midlands is the most significant region for the industry, being a major transport and automotive hub. As the automotive industry becomes more reliant on developing new technology, being located close to high-technology industries such as aerospace can lead to positive results. Land Rover and Jaguar have plants in Solihull and Birmingham. Aston Martin is also located in the region (in Gaydon).
The North West is the second most significant automotive region in the United Kingdom for similar reasons... purchase to read more