Over 20 UK-based vehicle manufacturers and high-value Tier 1 suppliers will gather at a dedicated supply chain networking event next week to meet more than 90 automotive component companies, to discuss sourcing opportunities that will strengthen and grow the UK’s £4.5 billion supply base.
With more than 200 one-to-one meetings due to take place, SMMT’s ‘Meet the Buyer’ event is the largest business building event of its kind, demonstrating industry’s commitment to boosting local component sourcing and providing a mechanism to forge new business partnerships.
“£5.6 billion of investment has been committed to UK automotive during the last 18 months and is creating major new growth opportunities for component companies across the country with vehicle manufacturers looking to secure local suppliers to support new model production,” said Paul Everitt, SMMT Chief Executive.
“By sourcing closer to their UK plants, manufacturers and major Tier 1 companies can benefit from reduced logistics costs and more open and flexible relationships with automotive suppliers. Events like ‘Meet the Buyer’ will help to facilitate greater local component sourcing, so more of the value of these products is created and retained here in the UK.”
The UK automotive supply chain has the capacity to provide more than 80% of all component types required for vehicle assembly, but vehicle manufacturers are only purchasing between 60-75% of their manufacturing requirements within the UK.
A recent report, commissioned by SMMT, highlighted that there is strong ‘appetite for growth’ within the UK supply base, with almost 60% of auto suppliers confirming business growth plans to meet new demand and close the domestic sourcing gap.