“This result is a consequence, mainly, of the low level of activity registered during the month of January due to the reduction of registered working days,” AFAC explained in its report.
The entity stressed that the growth figures for February “marked a recovery in activity compared to January,” and added that “they accompanied the growth trend registered in items related to the automotive complex.”
In addition, he pointed out that “The accumulated figure for the auto parts sector presented a drop in activity that it was not possible to compensate for despite the significant increase in February, due to the poor performance recorded during January.”
However, he stressed that “when analyzing the evolution of the three main business segments that make up the sector, positive trends are observed”, and remarked that “vehicle production increased by 22.1%, auto parts exports increased by 2 .1% and the sale of fuel (taken as an indicator of the level of activity of the replacement market) rose 17.4% during the period analyzed”.
“Despite the improvement in the activity of the last month, the auto parts sector, like the rest of the automotive complex and related activities, is going through a situation of great uncertainty due to the limitations that make it difficult to pay suppliers abroad”, AFAC stated.
In this regard, he explained that “several auto parts companies have already consumed the quota granted for the year and others are close to exhausting it,” and pointed out that “This would generate serious doubts in the coming weeks about the ability to maintain the normal supply of the production chain.”
For his part, the entity’s president, Raúl Amil, maintained that “if the inconvenience to make payments abroad to suppliers persists, auto parts manufacturers will consume their safety stocks,” and estimated that “if they are not replenished, a large uncertainty about production.
Source: Ambito
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