In recent OEM (Original Equipment Manufacturer) news that directly impacts local auto repair companies in Buffalo, NY, there have been some developments in the automotive industry. These changes carry significant implications for repair businesses in the area. For Buffalo’s auto repair companies, staying informed about OEM developments is critical to their business. Here is the latest OEM news.
An Update on Global Chip Shortages
A global chip shortage continues to headline in OEM news. The global automotive industry has been facing an unprecedented challenge over the last few years—widespread chip shortages. These shortages have significantly affected the production and supply chain of various automobile manufacturers, impacting not only new car sales but also the operations of local auto shops. Every Buffalo, NY, auto shop is wondering where we are at with this global chip shortage.
The increasing complexity of modern vehicles has led to a higher demand for semiconductors. The chip shortages started because of a “perfect storm” of events. First, the COVID-19 pandemic disrupted chip production and supply chains worldwide. The closure of factories and shipping delays created a ripple effect, leading to a shortage of the components used to make the chips.
There is good OEM news when it comes to these OEM parts. For the most part, the supply chain has been fully restored except for chips for a few models. At this point, chips are once again readily available. Talk of the chip crisis has faded into the background.
Shifts in Supply and Demand for Vehicle Parts
OEM parts are components manufactured by the same company that produced the original parts in a vehicle. They are designed to meet the exact specifications of the vehicle’s manufacturer, ensuring compatibility and quality. For many years, using OEM parts has been the standard in auto repairs due to their reliability and warranty support. OEM news headlines often talk about the shift in supply and demand.
The world of auto repairs is experiencing significant shifts in supply and demand for vehicle parts, primarily driven by changes in the availability and preference for OEM (Original Equipment Manufacturer) parts. As the automotive industry undergoes transformations and vehicle technologies evolve, understanding these shifts is vital for shop owners in Buffalo, NY.
Access to and availability of OEM parts will inform the ability to make repairs. There has been a shift both in supply and demand when it comes to these parts. For example, today’s vehicles are equipped with advanced technology, including electronic and hybrid systems. This has led to a growing demand for OEM parts.
Foreign Wars and Global Shipping Hiccups
We can’t ignore the fact that foreign wars are also a player in the ability to get OEM parts. Every car repair shop in Buffalo, NY, feels the effects of foreign wars and the resulting global shipping hiccups of parts. These disruptions in the supply chain have created challenges for repair shops as they navigate obtaining essential components to make vehicle repairs.
Many essential automotive parts are produced in regions with a history of geopolitical tensions, making them vulnerable to supply interruptions. These areas may include Asia, Europe, and the Middle East. Wars and conflicts in these areas can affect transportation routes and infrastructure, delaying the arrival of necessary parts.
Repair shops are diversifying their sources for parts, considering local and alternative suppliers to reduce reliance on regions affected by war. Some repair shops are stockpiling critical components to mitigate potential shortages and delays. Repair shops are communicating proactively with customers about potential delays due to shipping hiccups.
Automotive Strike Impacts On The Supply Chain
Pandemics and war are only two reasons OEM parts have been difficult to secure. Automotive strikes are another factor. Recent automotive strikes have sent shock waves through the industry, disrupting the supply chain and affecting the availability of parts. OEM news has focused on the strikes in the automotive industry and how it’s impacted the ability to meet consumer demands for OEM parts.
When automotive workers go on strike, it often results in the temporary cessation of vehicle production and parts. The stoppage of production can lead to shortages, which of course, makes OEM news. These strikes have far-reaching consequences that extend to various sectors, including car insurance providers, who must stay informed and adapt to these disruptions. It can slow down claims processing when auto repair shops can’t get the necessary parts to make repairs. It can have a great deal of financial impact as well on automotive repair shops.
Keeping a close watch on developments in the automotive industry, including strikes and their duration via OEM news, can help businesses affected by striking auto workers plan for anticipated shortages. Keep open communications with customers to ensure they understand the delays. Building strong networks with multiple suppliers is strongly recommended to deter the effects of an automotive strike on your business. Keeping abreast of OEM news and proper planning is essential in managing supply and demand for OEM parts.
The Rising Value of Used Car Parts
There is a lot of OEM news buzz about the rising value of used car parts. The rise began with the supply chain disruptions during the COVID-19 pandemic. Consumers and auto repair shops were at a loss for how to make repairs without the ability to secure OEM parts. They turned to used auto parts to fill the void.
The ongoing global supply chain disruptions, such as strikes in the automotive sector, have led to delays in the production and delivery of new OEM parts. This has heightened the demand for reliable alternatives, including used parts. Auto body and engine repair shops are looking to use car parts to find solutions. Of course, they should move with caution. Used auto parts come with a certain level of risk that can be difficult to mitigate.
This new demand for used parts is driving the cost of used parts up. There is far more competition for used auto parts than ever before. While supply problems started the trend of using used auto parts, it is not the only reason consumers are asking auto repair experts to source used parts. Environmental impact awareness has also played a role in the demand for used auto parts.
Scrap Metal and Custom Part Fabrication
In OEM news, the use of scrap metal in custom part fabrication is big news. This development carries significant implications not only for manufacturers but also for various related sectors, including auto towing services. Traditionally, OEM parts were mass-produced, limiting the options for customization. However, the increased demand for personalization is changing things.
Scrap metal is becoming a valuable resource for custom part fabrication. Salvaging components from discarded vehicles and reusing scrap metal reduces waste and aligns with sustainability goals. Auto recycling centers and scrap yards have become treasure troves of raw materials for custom part manufacturers.
As a result of this new trend of using scrap metal for custom manufacturing, the auto towing service industry has enjoyed an uptick in business. Towing services are often responsible for transporting salvaged or non-operational vehicles to recycling centers. This practice seems to be a win-win practice for several industries.
Automotive Glass Supply Chain News
The latest OEM news includes news about the latest technologies in auto glass. Recent advancements in auto glass technology have led to improvements in multiple areas including enhanced safety features. Laminated glass and innovative designs contribute to improved passenger safety.
Smart glass and energy efficiency features in automotive glass are also making the OEM news. Smart glass technology offers features like heads-up displays and augmented reality, providing drivers with essential information while ensuring they keep their eyes on the road. New developments in automotive glass can help regulate the vehicle’s interior temperature, reducing the need for excessive air conditioning or heating.
Staying up to date with the latest OEM news about automotive glass innovations can help auto repair shops to better serve their client base. It’s an interesting time to be in the automotive repair industry. There are so many changes and improvements. Keep up with the latest news.
Manual VS Automatic Transmission Parts
OEM news often addresses specific topics like auto transmission repair. Some repairs can be easily made with aftermarket parts that are not OEM. However, transmission repairs, especially manual transmission repairs are not the type of repairs that can be made with anything other than OEM parts.
Transmissions are made up of finely tuned components that require exacting specifications when replacements are needed. Whether a manual or automatic transmission, the right original parts are essential for a successful repair. The latest OEM news regarding OEM parts for transmissions is bright. OEM components and parts for transmission repair are typically readily available. There is no need for repair shops to consider alternatives.
Largely supply chain disruptions and the resulting OEM part problem have been limited to engine repair work and needs. Both manual and automatic transmissions need the right parts to ensure proper repairs and replacement. While these transmission styles have several differences, they both require OEM parts. Most transmission shops can easily get the parts that they need according to the latest OEM news. This is good news for both the shop owners and the customers in need of repairs.
Why OEM Parts are Worth the Wait
The automotive insurance industry is a stickler for making repairs with OEM parts and rightfully so. OEM parts affect safe repairs that are durable and long-lasting. Using aftermarket parts that are not OEM is a risk factor and insurance adjusters know that. OEM news about insurance claims being denied because OEM parts were not used to make the repairs are abundant.
Waiting for the right parts to make repairs is a better option than using parts that were not specifically designed for the make and model of car. There is a much higher risk of component failure which is costly to both the vehicle owner and the repair shop. OEM parts are a “one-and-done” repair. Aftermarket non-OEM parts may require several visits to the repair shop and several replacement efforts.
Waiting on the right OEM part is well worth the wait. OEM parts take the guesswork right out of repairs. Original replacement parts ensure ultimate performance and ensure that the insurance claim for repairs is covered. Cutting corners when it comes to parts replacement will result in customer dissatisfaction and ultimately negative financial fallout. It’s not worth the risk to use any other type of part but OEM.
Automotive Warranties and OEM Parts
Sometimes OEM news drives home the importance of using OEM parts. For example, reading news about violating automotive warranties by not using OEM parts can relay the importance of using original parts. Automotive repair that skimps on ensuring original parts are used can be a risky endeavor.
Violating a car’s warranty can result in thousands of dollars of lost coverage. It’s essential that OEM parts are used as specified by the car manufacturer’s warranty. The use of OEM parts ensures that the repaired vehicle maintains the same level of quality and performance as when it left the factory.
Repair shops must adhere to manufacturers’ warranty conditions when performing covered repairs. Failure to use OEM parts can jeopardize warranty coverage. Yes, OEM parts are more expensive than other aftermarket options. However, OEM parts guarantee proper repairs. OEM parts are an investment in quality repairs and continued warranty coverage. Don’t risk your customers’ warranty by using anything other than OEM parts.
OEM news is essential to anyone who works in the automotive industry but especially important to the repair industry. Keeping abreast of the latest developments in OEM news will keep your business competitive. You can use the information for planning, budgeting, and providing services. Learn more about OEM news and how it affects your business.
