Motorists face delays in repairs due to component shortages – The Citizen
Motorists whose vehicles are damaged in accidents or other accidents face potential long delays in repairing their vehicles due to “a severe shortage of engine body repair parts”.
This is the warning of the Bodywork Association SA (Sambra)representing nearly 1,000 auto body repair companies which account for over 80% of all insured repair requests in the country.
Sambra country director Richard Green said Monday that he has received notifications from several original equipment manufacturers (OEMs) that these supply constraints will continue for many months.
Green said the shortage of components is totally beyond the control of Sambra members.
Impact of the blockade
He said multiple factors contributed to the shortage, including the hangover from the Covid-19 blockades, the fact that large manufacturing entities had to close for a period, with some business closures, and the streamlining process that took place. it is almost verified between suppliers.
“Then there is a ‘live’ economy again with demands returning to pre-Covid-19 levels”.
Green said there is also a shortage of metal around the world, including steel, in addition to the known shortage of semiconductors.
He said these supply constraints also affected the production of alternative parts, and Sambra is finding that this has had a knock-on effect on the quality of available alternative parts.
Green said the shortage was exacerbated by a dramatic increase in the cost of international container logistics, which has quadrupled in the past 12 months.
“Plan for delays”
He strongly suggested that motorists who do not have car rental coverage in their auto insurance policies include this coverage as a matter of urgency because it is inevitable that vehicle repairs will take much longer than normal as manufacturers struggle to restore the supply chain of parts and components.
Green said it is impossible to specify components that are in short supply because it varies from OEM to OEM.
“It really depends on the type of car you are driving and how badly you will be affected. They range from the semiconductor problem to a basic part that Mazda, for example, says will take three months to supply in some cases.
“Mazda is the only one who has admitted to me that in some cases there is a waiting list of at least three months,” he added.
Interruption of the supply chain
National Association of Automotive Components and Allied Manufacturers (Naacam) Executive Director Renai Moothilal confirmed that a multitude of supply chain challenges are making it difficult to ensure full availability of stock requirements, both in the aftermarket and even at the platform level in some OEMs.
Moothilal said it’s something that has been running for quite a long time, but has started escalating since the second half of last year.
“At the moment, the biggest challenge since the flood situation in KwaZulu-Natal has been the impact of some of the logistical disruptions going through the port of Durban.
“This has been a really big factor in the auto industry over the past two and a half weeks,” he said.
Moothilal said the general sentiment is that supply chains, especially in terms of global supply, have been a challenge in the industry, but they hope that towards the end of the year, many of these challenges will start rolling out of the system.
“But a shock like the one we have seen in the past two weeks and the impact on a major port like the Port of Durban makes it difficult to give an exact timing around when it will return to normal,” he said.
Moothilal said that each OEM has their own specific global supply chains and the specific parts that are in short supply vary between different OEMs.
Mikel Mabasa, CEO of the Naamsa Automotive Business Council, said there are various reports from different OEMs on some challenges with the availability of certain components and products on the market.
Mabasa said these shortages are due to the current supply chain challenges caused by the Russian invasion of Ukraine and the “slowdown in stock availability in the supply chain from the port of Durban and so on”.
This article originally appeared on Moneyweb and has been republished with permission. Read the original article here.