The African Association of Automotive Manufacturers (AAAM) is pleased to have been associated with the recently released survey from Deloitte entitled – ‘The economic impact of COVID-19 on the Automotive value chain’.
“The survey is relevant as it offers leaders the opportunity to reflect broadly across their businesses whilst being provided with a benchmark that enables some level of measurement in calibrating their response to the impact on their companies post COVID-19” commented Dave Coffey, CEO of AAAM.
The research highlights that liquidity and employee well-being as the biggest issues facing businesses across the automotive value chain and represent the biggest shift in focus since the onset COVID – 19. This is followed by strategic cost transformation, which was already seen as important prior to the outbreak of COVID-19 due to the tough business conditions facing companies in the region. “There is no doubt that the impact of COVID-19 will speed up efforts to transform cost and generate cash, resulting in unnecessary expenditure being eliminated”, added Coffey.
The survey reinforces the importance, even before the onset of COVID-19, of realising the AAAM’s belief in the Africa opportunity as more than 80% of vehicles sold are used cars – the AAAM will continue to drive the vision of industrialising the automotive sector by working with governments to shape and implement effective automotive policies and ecosystems that will result in the significant growth of new vehicle demand whilst attracting manufacturing investment and unlocking the economic potential of the continent”, concluded Coffey