The future of the auto parts aftermarket — Transmission

What will automakers have to contend with by 2030?

(Photo: FreightWaves)
Gemini Sparkle

Key Takeaways:

  • The rise of electric vehicles (EVs) necessitates adaptation within the automotive parts manufacturing industry.
  • EVs require approximately 40% fewer parts compared to internal combustion engine (ICE) vehicles, impacting aftermarket suppliers.
  • Parts manufacturers must adjust their strategies to remain competitive in the changing EV market.
  • McKinsey & Company partner Sebastian Kempf offers insights into the evolving strategies of parts makers.
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Transmission is sponsored by AIT. Most automakers rely on “just-in-time” manufacturing to optimize production. That model requires precise coordination throughout every link in the global supply chain. And that’s where AIT Worldwide Logistics comes in. AIT’s automotive logistics professionals are the experts at developing resilient, scalable solutions for OEM and Tier 1 supply chains across Asia, Europe, and North America. AIT has the expertise, technology, and carrier connections to achieve your production goals — just-in-time. To learn more, visit https://www.aitworldwide.com/automotive-logistics

The growing number of electric vehicle sales means parts manufacturers are going to have to adapt. 

On this episode of Transmission, Sebastian Blanco and Grace Sharkey explore how parts manufacturers will change to accommodate the EV market. The two discuss what this means for aftermarket suppliers, including the fact that EVs use about 40% fewer parts. 

Blanco and Sharkey welcome McKinsey and Co. partner Sebastian Kempf to explain how he sees parts makers changing strategies to stay competitive. 

You can find more Transmission episodes and recaps for all our live podcasts here.

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Kaylee Nix

Kaylee Nix is a meteorologist and reporter for FreightWaves. She joined the company in November of 2020 after spending two years as a broadcast meteorologist for a local television channel in Chattanooga, Tennessee. Kaylee graduated from the University of Oklahoma in 2018 and immediately made the Tennessee Valley her home. Kaylee creates written summaries of FreightWaves live podcasts and cultivates the social media for FreightWaves TV.