The number of heavy and medium-duty trucks on the roads ranks very low compared to other motor vehicles. Most trucks are meant and used for heavy transportation and unlike normal cars, they tend to damage some of their parts quite frequently. Many external manufacturers cover this need by providing parts that are close replicas of the original parts. When you look at data and expert insights in the market, the trucking industry is set to grow exponentially, inversely increasing the demand for replacement parts. For this reason, this article is meant to describe why we think the need for aftermarket medium-duty truck parts is going to rise sooner rather than later.
Companies Closing Down
In the recent past, many big truck manufacturers have either reduced production or entirely closed their facilities. During the pandemic, it became nearly impossible for truck manufacturers to price their products affordably due to the increased cost of production. The lockdown too completely devastated the industry. It broke the chain of supply for truck parts and components used to assemble the whole truck.
Similarly, the cost of assembling a truck became too costly for the companies to cover their expenses and make a profit. With the number of people out of their jobs and the cost of trucks skyrocketing, these companies could not continue to keep their facilities open, forcing them to close or minimize their operations.
Growing Need for Specialization
With the growth of technology, many parts of manufacturing have been assigned to specific companies that focus entirely on the specific part. This is done to ensure that the parts are made with top-quality engineering to provide the most efficient service to the truck owners. Big brands focus on the body and parts requiring less research and low cost of production to ensure increased profit.
Outsourcing provides an opportunity for third-party companies to compete on technology, price, and the efficiency of the parts they make. This makes the aftermarket industry grow tremendously both for truck manufacturing and replacing the different parts during repairs.
Increasing Pre-owned Market
Buying a new automobile can seem like a good idea and sometimes it is. With the increasing prices, financing becomes the most commonly used method of acquiring a new vehicle. When it comes to trucks, spending that amount on a new machine becomes a waste of money especially if you can find the same functions from a pre-owned truck.
Old is still gold and many truck enthusiasts have taken this to a whole new level which is seen on the pre-owned trades done each year. You will find more people willing to buy pre-owned trucks and use them for years to come therefore giving the aftermarket industry a boost from repair parts purchases.
Both medium and heavy-duty trucks that hit the market in the recent past are now aging and slowly depreciating. This means that many of the trucks that came into the market nearly a decade ago are still functional and mostly in good condition. These trucks require regular maintenance to ensure they continue to perform their intended jobs with ease and cost-effectively.
Typically, a truck will require replacements and upgrades to most of its parts after it has clocked the 100,000-mile point. From bolts to pumps and joints, it is no secret that these major repairs will require high-quality parts from the aftermarket. This is mainly because, by this time, most OEM manufacturers’ warranties have elapsed and since the original parts are mostly expensive, the aftermarket has become the sweet spot.
High Cost of New Trucks
As the demand for trucks increases, the supply has significantly reduced due to the increased cost of production, the Covid situation, and the insufficiency of major components. The cost of production has mainly been a change in labor laws in different countries and trade agreements between nations. When workers demand an increase in wages, there is no room for the manufacturers to price their trucks affordably.
The pandemic has disrupted the automobile industry, making it difficult for raw materials to reach the factory and the trucks to reach the buyer. This forces the companies to increase prices for them to get returns from their efforts. Many assemblers have failed to source or have a limited supply of essential components, making it hard for the final product to be affordable. This shortage cannot be resolved in a day, meaning it will take time for prices to drop.
This increase is crucial to the growth of both the pre-owned trucks and aftermarket parts industry. Analysts note that this projection is going up and could double in 5 to 10 years.
The Nature of Truck Use
Unlike normal automobiles, trucks are specially made to help transport heavier things and operate in a variety of terrain and weather conditions. Similarly, trucks enthusiasts would rather improve the look and feel of their trucks to suit their taste and work. This creates a demand for individual parts which could be both impossible and expensive to find from the original manufacturer.
The rise of the aftermarket not only provides a variety of parts to suit different needs but also allows you to get the part at a reduced price compared to OEM. Many truck owners do not fancy the latest tech in the trucks and they mostly buy them because of their service and not aesthetic or specs.
Our world is actively designing new ways of doing things and revolutionizing how different things operate. Manufacturers have adopted different technologies in their research, manufacturing, and testing. This ensures that each component made is efficiently operational. With many companies involved, it creates healthy competition that distorts the monopoly of big brand companies by providing parts that function the same and sometimes better than the original part.
The automotive industry is rapidly growing with technology being the main catalyst in this process. We are yet to see what is to come and how huge the aftermarket will become. The only sure thing is the amount of positive impact this growth will have on the overall trucking industry. Also, you can check out https://www.affordablehtp.com/ for quality truck parts.
Affordable Heavy Truck Parts
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