Aftermarket November 2023

MONTH 2017 AFTERMARKET 3 www.aftermarketonline.net NOVEMBER 2023 AFTERMARKET 5 ZEV mandate puts automotive sector ‘between a rock and a hard place’ The ZEV mandate, which requires that a proportion of new cars being sold are electric, with carmakers fined if they fail to achieve their quota, will still be enforced from January despite the 2030 internal combustion engine car sale ban having been rolled back to 2035, the Government has confirmed. From January, vehicle manufacturers will need to make sure 22% of vehicles sold are electric. This will rise every year to 2030, at which point the proportion that needs to be electric will hit 80%. This could be difficult for carmakers to achieve, as Ian Plummer, Commercial Director of Auto Trader noted: “The ZEV mandate will be a stretch for the majority of manufacturers to achieve in its current form, as many are significantly behind where the Government is telling them they need to be in terms of EV sales. Therefore, to close the gap and meet electric vehicle sales targets, car manufacturers will be forced to look at ways to stimulate consumer demand and it’s likely price will need to play a big part in this.” There could be an impact on the work being done to plug the widening skills gap around EVs as well. According to IMI CEO Steve Nash, the detachment of the ZEV mandate from the ICE ban could have a negative impact: “A sector that had already been working hard to overcome a lack of any clear strategy for the 2030 deadline now finds itself caught between a rock and a hard place. “The shift to 2035 for the ban on the sale of new ICE vehicles will certainly dampen adoption of EVs. Yet manufacturers must still meet the ever-building UK ZEV target. It’s already causing concern for 2024 with demand unlikely to match the 22% target for all vehicle sales, with the potential consequence that manufacturers will simply reduce production/import of ICE vehicles in order to avoid the eye-watering £15,000 per vehicle fine. “If automotive employers and their workforce can’t see the immediate return on investment of EV training because of lack of consumer buying confidence, the already critical skills gap will only widen and we could find the wait times for repairs extending even further than they are already. That can’t be good news for the UK economy and social mobility.” Steve added: “Busy as a consequence of the pandemic, with the average age of vehicles in the parc increasing to 10+ years, and facing a significant skills gap, they are already struggling to manage demand. As such, there’s little reason for them to prioritise training right now on electric vehicles.” For industry reaction to the Government’s internal combustion engine ban rollback, turn to Big Issue on pages 8-11. Ben launches Race Across Britain challenge Ben has launched a new challenge, Race Across Britain, inspired by the BBC TV series Race Across the World, which is taking place early next year. Ben is challenging those in the sector to form teams to undertake the three-day contest from 26– 28 February 2024. The event, which is being supported by LKQ Euro Car Parts, will see up to 50 teams of two people looking to reach checkpoints throughout Britain. They will not know the checkpoints beforehand so will be unable to plan or pre-book travel or accommodation. Matt Wigginton, Director of Partnerships, Engagement and Income, said: “Race Across Britain is a brilliant way to show your support for our automotive family, and every penny raised will make a positive difference to people's lives.” Andy Hamilton, Group Chief Executive Officer at LKQ Euro Car Parts, added: “Once again, Ben has pulled out all the stops to create a fun and engaging event to raise critical money for their vital services. As the automotive industry’s charity partner, we’d be lost without them. It’s a pleasure for LKQ Euro Car Parts to sponsor their Race Across Britain event. We’re looking forward to seeing some of you at the starting line!” For more information or to sign up, visit: https://ben.org.uk/getinvolved/do-it-4-ben/race-acro ss-britain/ www.aftermarketonline.net NEWS In association with:

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