Automotive Supply Chain Showing Progress but Needs More Improvement
Published By : 18 Mar 2015 | Published By : QYRESEARCH
British cars are currently being made with an ever growing proportion of parts which are domestically sourced. However, the companies in the United Kingdom in the automotive supply chain sector are still missing out on the opportunity of £4 billion of potential business every year.
The rise of the supply chain in the UK and its opportunities has still not yet capitalized. A report by the Automotive Council revealed that the local component makers are still based in the Midlands and sold a total of 19 per cent products to the UK vehicle makers in 2014 year as compared to 2013. The report also mentions that a further £4 billion per year opportunity needs to be addressed for UK automotive supplier to help grow their business in the coming few years.
Presently, there are around a third of the components in a United Kingdom built car which are domestically sources as compared to over 90 per cent during mid 1970s. During 1970s the industry was at its zenith point.
These untapped opportunities for suppliers to accelerate their output come as the vehicle manufacturing in this country is currently enjoying a high rate growth rate. British car production has expanded by over 50 per cent from the year 2009 and the Midland manufacturers such as Jaguar Land Rover are currently leading the path.
Bentley based in Crewe has also expanded their operations, on the other hand the volume from Japanese car manufactures such as Nissan, Toyota, and Honda have witnessed soaring production at their factories based in Sunderland, Burnaston, and Swindon.