Longer-Lasting Vehicles Drive Steering and Suspension Parts Aftermarket

19 December 2000

More and Longer-Lasting Vehicles Drive Steering and Suspension Parts Aftermarket, Reports Frost & Sullivan

    SAN JOSE, Calif.--Dec. 19, 2000--The increasing number of vehicles on the road, longer vehicle life spans and wear resulting from harsher driving conditions will drive the steering and suspension parts aftermarket through 2006.
    New strategic research from Frost & Sullivan (www.frost.com), "U.S. Steering and Suspension Parts Aftermarket," reveals that this multi-million dollar industry is expected to show modest growth over the next several years. This market, which generated revenues of $358.5 million in 1999, is projected to reach revenues of nearly $420 million by 2006.
    Growth in the number of passenger cars and sport utility vehicles (SUVs) has been extremely positive in the last two years, largely due to strong employment growth, low inflation rates and stable interest rates. Not only is the number of vehicles increasing, they are staying on the road longer, increasing demand for replacement parts.
    "New vehicles typically undergo initial steering and suspension service four to six years after purchase," says Frost & Sullivan industry expert Manoj John. "Strong growth in vehicle sales over the period 1996 to 1999 will likely result in increased demand for steering and suspension aftermarket parts over the forecast period 2000 to 2006."
    Increase in the average number of miles driven leads to more component deterioration. Additionally, the number of miles driven over rough roads will also add to demand as these conditions account for more wear-and-tear on the original equipment, necessitating replacement.
    "Steering components are safety-related items and hence, are indispensable," says John.
    Frost & Sullivan presents the 2000 Marketing Engineering Awards to companies that have made positive contributions to the U.S. steering and suspension parts aftermarket. The Competitive Strategy Award is presented to Cardone Industries. The Market Penetration Award goes to Dana Corporation .
    Companies that participated in this industry include: American Remanufacturers Inc.; Cardone Industries; Crown Remanufacturing Inc.; Dayton Parts Inc.; Federal-Mogul Corporation; Fenwick Automotive Products; Plews-Edelmann; Rare Parts Inc.; Suspension International Parts Corp.; TRW Inc.; and ZF Industries.
    Industry organizations include: Automobile Aftermarket Industry Association (AAIA) and Automotive Parts Rebuilders Association (APRA).
    Distributors include: Advance Auto Parts; Aftermarket Auto Parts Alliance; AutoZone Inc.; Carquest; Discount Auto Parts; National Automotive Parts Association (NAPA); O'Reilly Automotive; and Pep Boys.