Regulating Europe’s Aftermarket: Key Challenges and Opportunities

The European automotive supply industry is facing increasing 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 regulatory reforms to protect consumer choice and ensure fair competition in the aftermarket.

The Growing Influence of Authorized Dealers

The dominance of authorized dealers can increase repair costs and limit choices for consumers. Restrictions on access to critical repair data and parts can discourage independent workshops, limit service mix, and increase prices, thereby strengthening the position of authorized dealers.

Barriers to Accessing Technical Information

Despite legal requirements, access to essential vehicle data remains a challenge. Information is often difficult to obtain, leading to delays and additional costs. This highlights the need for updated regulations to increase transparency and facilitate data access for all market participants.

Cybersecurity Regulations and Their Impact

New EU cybersecurity regulations add complexity to vehicle repairs, requiring more parts to be coded specifically. This increases repair costs and raises concerns about the balance between cybersecurity and affordability. These guidelines need to be reviewed to avoid overloading consumers and the repair market.

The Need for Balanced Legislation

CLEPA advocates for legislation that balances cybersecurity needs with the availability of repair data and parts. Fair regulation is essential to ensuring consumer choice, maintaining affordable mobility, and 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 industry, consumer repair costs could increase by €35 billion per year, severely limiting access to affordable maintenance and repair services.

Basic Regulations for a Fair Market

  • Motor Vehicle Block Exemption Regulation (MVBER): The extension of the MVBER until 2028 is vital to ensure independent garages have access to spare parts and to support fair competition.
  • Type Approval Regulation (TAR): A revised TAR that takes cybersecurity into account while ensuring data access could 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 promoting a competitive market for independent services. This will help preserve consumer choice and support market diversity.

Conclusion: The Way Forward

The future of Europe’s automotive aftermarket depends on balanced, transparent regulations that protect consumer interests and ensure fair competition. Only through fair legislation can the sector deliver affordable, sustainable mobility for all.