Auto Parts Manufacturing in Canada Industry Market Research Report from IBISWorld Has Been Updated

As consumer confidence improves, new car sales are expected to rise in line with an influx of big-ticket purchases that were delayed during the recession. For these reasons, industry research firm IBISWorld has updated a report on the Auto Parts Manufacturing industry in its growing industry report collection.

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Demand for industry services will soar as consumer confidence returns.

Los Angeles, CA (PRWEB) December 16, 2013

Over the five years to 2013, revenue for the Auto Parts Manufacturing industry has trended upward, however, industry operators experienced volatile swings in revenue during the economic downturn. “Because the industry relies heavily on automakers, fluctuating demand for cars and automobiles leads to an ebb and flow of demand for industry services; the greater the demand for automobiles, the more likely automakers will need to increase orders from upstream suppliers, such as auto parts manufacturers,” according to IBISWorld Industry Analyst Brandon Ruiz. Therefore, as consumer confidence fell over the five-year period, unemployment soared and consumers delayed big-ticket purchases, such as new cars. As a result, automakers reduced production levels, which hindered industry revenue growth. Nevertheless, as economic conditions improved, demand for new cars rebounded. IBISWorld expects industry revenue growth of an annualized 3.5% to $5.8 billion over the five-year period, including a 4.5% increase in 2013.

“Industry operators strongly depend on the United States as a trade partner, primarily due to the North American Free Trade Agreement (NAFTA), which allows domestic operators to trade freely with the United States and Mexico, thereby avoiding tariffs and lifting profit margins,” says Ruiz. The United States is expected to account for 89.7% of exports and 77.0% of imports in 2013.

Over the five years to 2018, domestic auto parts manufacturers are expected to thrive as demand for automobiles continues to increase, bolstered by improving economic conditions. As consumer confidence improves, new car sales are expected to rise in line with an influx of big-ticket purchases that were delayed during the recession. Regulation is also expected to play a prominent role over the next five years as industry operators search for alternative ways to manufacture more fuel-efficient auto parts in the face of rising regulatory standards.

For more information, visit IBISWorld’s Auto Parts Manufacturing in Canada industry report page.

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IBISWorld industry Report Key Topics

Companies in this industry manufacture and rebuild a wide variety of motor vehicle parts and accessories. These parts include air bags, air-conditioners, catalytic converters, engine exhaust systems, mufflers and resonators, radiators, radiator cores and wheels.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US and Canadian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.


Contact

  • Gavin Smith
    IBISWorld
    +1 (310) 866-5042
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