+971 50 443 1871
Regulating Europe’s Aftermarket: Key Challenges and Opportunities
The European automotive supply industry faces mounting pressures from new regulations and market trends. A report by CLEPA, in partnership with Berylls and Alix Partners, highlights rising maintenance and repair costs, exacerbated by access restrictions and cybersecurity requirements. It explores the need for legal reforms to preserve consumer choice and ensure fair competition in the aftermarket.
The Growing Influence of Authorized Dealers
The dominance of authorized dealers could drive up repair costs and limit options for consumers. Restrictions on access to critical repair data and parts might hinder independent workshops, narrowing service diversity and increasing prices, thus strengthening the position of authorized dealers.
Barriers to Accessing Technical Information
Despite legal mandates, accessing essential vehicle data remains a challenge. Information is often difficult to obtain, leading to delays and added costs. This underscores the need for updated regulations to improve transparency and streamline data access for all market participants.
Cybersecurity Regulations and Their Impact
New EU cybersecurity regulations add complexity to vehicle repairs, with more parts requiring special coding. This drives up repair costs, raising concerns about the balance between cybersecurity and affordability. A review of these guidelines is necessary to prevent excessive burdens on consumers and the repair market.
The Need for Balanced Legislation
CLEPA advocates for legislation that balances cybersecurity needs with the accessibility of repair data and parts. Fair regulation is essential to ensure consumer choice and maintain affordable mobility, fostering a competitive and sustainable aftermarket.
Market Forecasts: Risks and Opportunities
The European aftermarket is expected to grow from €150.2 billion to €161.9 billion by 2035. However, if vehicle manufacturers continue to dominate the sector, consumer repair costs could rise by €35 billion annually, severely limiting access to affordable maintenance and repair services.
Key Regulations for a Fair Market
- Motor Vehicle Block Exemption Regulation (MVBER): Extending MVBER until 2028 is vital to ensuring that independent workshops have access to spare parts, supporting fair competition.
- Type-Approval Regulation (TAR): A revised TAR that accounts for cybersecurity while guaranteeing data access can help reduce costs for consumers and improve the overall repair process.
Ensuring Fair Access to Vehicle Data
One of the most pressing issues is ensuring fair access to vehicle data. Legal frameworks must protect consumer rights while fostering a competitive market for independent workshops. This will help maintain consumer choice and support market diversity.
Conclusion: The Path Forward
The future of Europe’s automotive aftermarket depends on balanced, transparent regulation that protects consumer interests and ensures fair competition. Only through fair legislation can the sector deliver affordable, sustainable mobility for all.
