Paul McCarthy, President and CEO of MEMA Aftermarket Suppliers, addressed the impacts of electrification on the U.S. aftermarket at the 2023 Aftermarket Conference in Istanbul, Turkey.
McCarthy took the stage May 25th for his presentation, “Impact of Electrification and Advanced Vehicle Technologies on the Aftermarket – U.S. Case”
Aftermarket Conference is the largest aftermarket event in the automotive industry in Turkey, and was held for the 13th time this year. The event, organized with the participation of leading figures in the industry, discussed the “Impact of Electrification on the Aftermarket.”
Aftermarket Conference event was hosted by several Turkish organizations – TAYSAD Taşıt Araçları Tedarik Sanayicileri Derneği, the Automotive Suppliers Association of Turkey; the Turkish Automotive Aftermarket Association (OSS); and the Automotive Industry Exporters’ Association (OIB).
McCarthy centered his speech around the potential and implications of electrification and advanced vehicle technologies on the automotive aftermarket. He addressed the profound changes these technologies are instigating within the industry, and the numerous opportunities they present for all stakeholders.
‘A few years ago, there was panic in the aftermarket. Now we see that people are making business plans, they are excited about the opportunities, the entrepreneurship is increasing, and entrepreneurs are responding to these opportunities.’Paul McCarthy, speaking in Istanbul, Turkey at the 2023 Aftermarket Conference
“If you come to Los Angeles, it feels like almost every vehicle is a Tesla. However, let’s talk about the reality. Only 3 percent of vehicles in operation in Los Angeles are electric, according to S&P Global,” McCarthy said. “Let’s look at San Francisco, Silicon Valley. We still only have a 5 percent share of electric vehicles in the parc.”
Nevertheless, McCarthy pointed out that by 2030, almost 40 percent of the growth in aftermarket parts will come from components of electric vehicles, indicating that this percentage will increase even more by 2045.
“Therefore, if we want to grow at pace of the market, we tell our members: We cannot ignore this opportunity. We need innovation,” he added. “We need to take advantage of these new technological opportunities. A few years ago, there was panic in the aftermarket. Now we see that people are making business plans, they are excited about the opportunities, the entrepreneurship is increasing, and entrepreneurs are responding to these opportunities.”
NOTE: Story updated with quotes from Paul McCarthy.
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