Over £4.5 billion investment in UK automotive facilities over the past 18 months is creating major new growth opportunities for component companies across the country as vehicle manufacturers look to source commodities for their new model production.
The UK supply chain has the capability to provide more than 80% of all component types required for local vehicle assembly with vehicle manufacturers currently purchasing between 60-75% of their national production value within the UK. The investment, which has already created thousands of jobs at vehicle plants, means thousands more could be created off the back of high-value contracts from OEMs and suppliers. It is estimated that every job in vehicle production supports 7.5 in the UK supply chain.
“Greater automotive commodity sourcing from the UK is an encouraging step towards ensuring new business opportunities are generated at every level of the supply chain, progressing the global competitiveness of the UK’s domestic supply base,” said Paul Everitt, SMMT Chief Executive. “Leveraging investment through the supply chain is central to guaranteeing further investment in skills, R&D and capital equipment required to sustain economic recovery and attract long-term inward investment in the UK.”
Increased OEM demand for UK-manufactured automotive commodities continues to optimise opportunities for UK supplier growth and SMMT is working to help them maximise the current opportunities, facilitating one-to-one buyer and supplier meetings, based on automotive commodity demand at its ‘Meet the Buyer’ events.
The annual publication of UK automotive commodity demand helps to match OEMs with UK suppliers and this year, plastic injection moulded components, trim interiors, vehicle upholstery, forgings and stampings are among the most highly sought-after components by UK-based OEMs.
In 2011, the SMMT hosted four nationwide ‘Meet the Buyer’ events, facilitating more than 400 one-to-one meetings between buyers and suppliers, covering more than 80 different automotive commodities.
This year’s ‘Meet the Buyer’ event will take place on 3 July in the West Midlands and interested buyers and potential suppliers are encouraged to register their interest early early and ensure company profile details on the SMMT Automotive Supplier Finder database are up-to-date.
For more information about SMMT ‘Meet the Buyer’ events, contact Nikki Huggett, firstname.lastname@example.org or click here . For more information about the key supply chain work streams of the Automotive Council, click here.