3D DREAMS
Auto Additive, a company that works to produce 3D auto parts, has announced the formation of its advisory council, featuring leaders from across the industry that are focused on the advancement of 3D printing in collision repair. Harold Sears, head of the council, said this group will “develop a roadmap for integrating 3D printing technology into repair processes, aiming to provide high-quality, OEMcompatible parts, tools and jigs to enhance efficiency and precision.” Promoting standardization of 3D-printed auto parts will be a key focus of the council. Auto Additive is also championing location-based printing for low-volume parts, which Sears says reduces waste and costs for OEMs or aftermarket providers. “By working alongside insurance companies, training bodies, OEMs and repair shops, Auto Additive is committed to helping the industry better understand the technology and adopt 3D-printed parts wherever possible,” said Sears.
FREIGHT FRUSTRATIONS
Two of Canada’s largest railways—Canadian National and Canadian Pacific Kansas City—initiated strike action in late August, prompting fears widespread across industries that use freight as a method of transportation. According to Canada National’s website, the company transports more than two million finished vehicles on its rails annually. Meanwhile, CPKC handles about 90 percent of automotive assembly plants in Mexico. When speaking with Automotive News Canada, the Canadian Vehicle Manufacturers’ Association said the stoppage would have an immediate effect on the automotive industry. However, Val Kucherenko, director for Railway Education at Michigan State University, told Collision Repair mag that, in his opinion, the automotive industry impact seen from the Canadian railway strike would be ‘minimal,’ should the strike only last a few days. “Everyone was sort of aware and getting ready for the strike to happen,” he said, referring to the fact that collective bargaining talks had been ongoing for quite some time. “There was no certainty, but when you have something coming up and it’s not good for the supply, it can start working in plans B and C. From an automotive dealership perspective, there shouldn’t be any immediate impacts. I’m sure they were aware of it coming,” he said.
COLLISION REPAIR IS KEY
In Canada’s currently strong used vehicle market, collision repair is “key,” automotive market analyst Sam Fiorani told Collision Repair in August. J.D. Power’s recent Automotive Market Metrics for July 2024 indicated that the current new vehicle transaction price sat between $44,000 and $46,000 in July 2024, compared to new vehicle prices between $48,000 and $50,000. Fiorani said the current vehicle pricing trends “leave a lot of buyers out of the marketplace, making it much more important [for them] to maintain older vehicles.” The vice president of AutoForecast Solutions added that these rising prices—even if the increases are marginal—makes “used vehicles much more important in the marketplace.” J.D. Power’s data echoes Fiorani’s claims of economic struggle when it comes to affording cars. In the last 12 months, 50 percent of new vehicle transactions have been paid in loans. Twenty-five percent were leased and 25 percent were paid in cash. Comparatively, 53 percent of used vehicle transactions were paid by loans; 45 percent were paid in cash and two percent were leased.
OFF THE RECORD
Nearly two-thirds of American drivers would prefer to pay out of pocket and avoid using auto insurance in the event of an accident, according to a survey of 2,000 American consumers, conducted by LendingTree. Of those who did file a post-accident claim, 24 percent regret doing so. Thirty-nine percent of insured drivers said they had bypassed their auto insurance when they’ve experienced an accident or incident. Of those drivers, 59 percent said they bypassed insurance because the damage was minimal; 42 percent said it was because they didn’t want their insurance to increase, while 44 percent said it was because their deductible was higher than the repair cost. LendingTree’s results also note that 57 percent of drivers who have paid out of pocket for repairs did not disclose the incident to their insurer. The survey results also indicate that almost two-thirds of drivers would prefer to pay out of pocket for small repairs in case of a collision or incident, with men more likely to do so.
