Automechanika Shanghai 2019 helps industry players compete in the new aftermarket game

Published: August 19, 2019, 11:25 AM IST

Automechanika Shanghai digs in deep and gives prominence to the latest global trends in OE and the aftermarket. Several zones and events will highlight a multitude of growing areas, such as Body & Paint in the Repair & Maintenance sector. The show will also delve into new business models for the proliferating service and chain store segment, and expand upon the prosperous customising culture.

In recent years, the automotive aftermarket has been both an essential and strong source of profit for the industry. Reports suggest that the current value of the global aftermarket is worth EUR 800 billion (RMB 6 trillion). This is projected to grow at a three percent annual rate by 2030, equating to about EUR 1,200 billion (RMB 9.2 trillion)[1].

As expected, China has quickly become a key contributing country towards the aftermarket's global shares. Findings reveal that the car ownership in China reached 127 million units in 2017, while the aftermarket was valued at RMB 130 million. The report also suggests that the aftermarket will represent 55 percent of the entire automotive supply chain by 2025[2]. Together with increased car ownership, this boost has also been backed by many new government initiatives that can attract a wealth of possibilities for customers, distributors, suppliers and service providers alike.

For these reasons and in the wake of current transformations, which are having a dramatic effect on the sector, Automechanika Shanghai will gather players across the entire industry. The show will also explore current trends, as well as nurture a host of innovative opportunities across different stages of the aftermarket value chain.

The Repair & Maintenance sector holds new interactive events
With the repair and maintenance industry segment projected to expand at a CAGR of six percent by 2027[3], the show aims to accentuate some of the associated prospects in its changing landscape. Across 65,000 sqm of space in Halls 5.1 and 6.1, the Repair & Maintenance sector will welcome major players such as Autel, Beta, Blue-Point, Bright, Dali, EAE, FLIR, GAOCHANG, Hofmann, Hunter, Jonnesway, Launch, Liberty, RAVAGLIOLI, SATA, Stertil-Koni, Tech, Triens, UNITE, Würth and more.

On top of this, the sector will also draw more attention to collision repair in response to the rising need of accident roadside recovery in China. For example, research has found that quality services from collision repair specialists are some of the most highly sought experts in the field[4]. Therefore, new product categories, such as Body & Paint, are highly significant additions to the show. This category will display:

Body repair – grid correction systems, body shaping equipment, welding equipment, body measurement systems, and tools and materials
Spray paint and anti-corrosion protection – spraying systems and equipment, paint, anti-corrosion protection, point repair and auxiliary materials
Painting, sheet metal, plastic parts, windows, headlights and rims

Several major players such as CELETTE (France), GYS (France) and YATU (China) will join Body & Paint for the first time, along with the established exhibitors Baozhongbao, BETAG, Doocar, MAXIMA, Stronger, YOKISTAR to name a few.

Dedicated fringe events are also expected to make headways at the show, as a host of new activities make their Shanghai debut. For instance, national bodyshops will go head-to-head designing custom car bonnets, and will showcase their finished product at the fair in the Body & Paint World Championships. The event series has already been met by overwhelming praise from Automechanika Birmingham with Johannesburg, Dubai and Mexico City yet to come. Selected by an expert panel and the public, the winner will be invited to Automechanika Frankfurt next year for the grand finale, along with the winning companies from other Automechanika events.

Elsewhere on 4 December, the International Bodyshop Industry Symposium (IBIS) China 2019 will bring together influential decision-makers from China's auto collision repair industry. Speakers will explore the umbrella topic of "Embracing transformation: seizing the opportunities of change in the Chinese collision repair market". A networking event will also follow the symposium.

Ms Fiona Chiew, Deputy General Manager, Messe Frankfurt (HK) Ltd, said: "We are very excited to host a variety of events related to the Repair & Maintenance sector. Amongst others, the Body & Paint World Championships and the International Bodyshop Industry Symposium (IBIS) China 2019 are both highly reputable international events. As such, Automechanika Shanghai has become a window for opportunities amongst the local Chinese talent pool, where they can learn new techniques and knowledge, as well as show off their current design flair."

Companies that would like to participate in the Body & Paint Competition can visit for more details.

Customising shines brighter than ever before
Changing consumer culture towards personalisation, comfort and luxury reinforce the fact that customisation has become a significant area of the market, which will continue to stimulate industry growth in the future. To illustrate, the global automotive interior and exterior markets will exceed RMB 400 billion in 2019 and RMB 261 billion in 2020 respectively[5]. However, despite statistics revealing the sector only accounts for three percent of the aftermarket, the relatively young segment still holds a torch for the tremendous opportunities in the country. Automechanika Shanghai recognises the sector's growth potential and gives Customising its own Halls in 6.2 and 7.2.

Exhibitors like Azoza, Manjie, MP Concepts, Shuangxing Color Plastic, STRONA, TEIN Far East, Unionevo, WINBO, XINHAI AIDO, YAKIMA, and more will play up to the occasion by presenting some of their most advanced products, services and technologies for car racing, lighting, leisure driving and entertainment, and lightweighting.

Likewise, the highly anticipated activity zone for Motorsport & High Performance will return once more. The zone will draw even more attention to many of the international motorsport racing competitions, as well as modified parts for high performance vehicles.

More focus on digital tools for the aftermarket
The Supply Chain and Chain Store zone has also become a fundamental part of the show as it embraces companies in the aftermarket that are seamlessly integrating technology and digital communication to connect with their customers.

Visitors will be able to explore numerous brands who specialise in supply chain platforms for auto parts, services, chain stores, insurance, used cars, workshop data management software and e-commerce.

Companies such as ARROW, Auto Finance & Service, Bangbang, Baturu, Carzone, Casstime, Cheling Network, eBay, EUROREPAR, Huasheng, Keeper Pro Shop, KZMALL, Mancando, and more have confirmed their participation.

Mr Cheng Yongshun, Vice President of China National Machinery Industry International, noted: "As the aftermarket game continues to change so does its players, and across the fairground it is clear that a number of new entrants and existing powerhouses are embracing these rapid developments. More opportunities in the sector have created an increasingly dynamic and competitive environment. There is no question that companies who are implementing new business models are also creating a more robust value chain footprint."

Elsewhere, value-added fringe programme events will amplify many of the themes running across the show floor. Participants can stay in touch with current and global updates in the industry's aftermarket through the Automotive Aftermarket Summit 2019, AIAG Auto Parts Purchasing Leadership and Suppliers Summit 2019 and the China Collision Industry Summit.

DISCLAIMER: This information is published as per the press release sent to us. It has not been verified or ratified by OVERDRIVE.

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