April 2019

O ne of the short-term effects of the politics around Brexit is that the pound has fallen in value against the Euro and other currencies. The direct result of that is UK manufacturers have become more price competitive abroad, which helps boost our exports and increases the prices of imported alternatives. Klarius Products Ltd is the largest manufacturer of replacement exhausts, catalytic converters (CATs) and diesel particulate filters (DPFs) in Europe. For significant UK aftermarket parts manufacturers such as Klarius, it has helped the company increase exports to France, Germany and the Nordic region among others. This in turn has led to increased investment with a stronger stock and supply service for the UK market. Klarius recently brought on-line its third £1million+ continuous vector pipeline (VPL) machine to precision manufacture tube for its own exhausts for example. What happens next? We hear you ask. The export benefits of a weaker currency will be short-lived if there is a no deal situation, as import and export tariffs and a slow-down at customs borders will add costs – making UK products less attractive to EU buyers. The potentially negative sentiment of leaving the EU political system aside, if we manage to secure a good trade deal with Europe that keeps borders open and current exemptions from tax and tariffs in- place, then the prospects are good for UK manufacturers. Companies such as Klarius that have invested heavily in UK manufacturing will see the benefit and so will the UK aftermarket – including the independent garage network. A healthy domestic manufacturer will keep availability high, quality up and offer a product range that continues to grow. The UK market already receives new-to-range replacement exhaust parts faster than any other market thanks to Klarius’ in-house R&D and test track facilities. Regardless of whether it is an older car or the latest hybrid vehicle, there will be a Klarius system available, or one in development. Klarius’ new-to-range programme delivers new exhausts and associated components for vehicle applications spanning from hybrids to sportscars to SUVs on an almost daily basis. By utilising market data and customer feedback, Klarius aims to offer the choice and availability required to support the needs of its distribution customers and therefore garages and motorists today. To further support availability and distribution, Klarius works closely with resellers, distributors and stockists to ensure they have popular, fast moving parts on-site already, optimising inventory. This is supported by the company’s national distribution service, Autologistiks, which ensures next morning delivery in the UK. From a central warehouse location, backed by demand driven logistics frameworks such as virtual warehousing systems, Klarius can hold stock as if it were on the shelf at the customer, providing increased versatility in terms of meeting the requirements of distributors, garages and motorists. With our continual investment and commitment to the UK market, combined with the potential export benefits of a weaker pound, we can ensure a continuing supply of quality products domestically. This will help the independent garage network stay competitive, while helping the people who work within it continue to provide a great service to UK motorists. 16 AFTERMARKET APRIL 2019 BUSINESS www.aftermarketonline.net BREXIT: LOOKING GOOD? UK manufacturing for the aftermarket is looking good for now as far as Klarius is concerned BY Paul Hannah, Business Development Manager at Klarius Products