ATS Euromaster: Ageing fleets require more maintenance amidst political and economic

With shipping routes from Asia to Europe disrupted by Houthi rebel attacks on merchant shipping in the Red Sea, many shipping carriers are avoiding the Suez Canal and take the vastly longer route via South Africa’s Cape of Good Hope. Estimates put the additional fuel cost at $2 million (£1.6m) and the journey adds at least 10 days to deliveries for vehicle makers already struggling to ramp up supplies hit by restrictions due to Covid and the Russian campaign against Ukraine, where many car components are made. Both Volvo in Ghent, Belgium, and Tesla in Berlin, Germany, have halted production temporarily as a result. As a result, fleets – especially those with ageing vehicles – ought to invest more in strategic and preventative maintenance, according to ATS Euromaster.

“We all saw what happened last time the Suez Canal was blocked, creating mayhem for shipping companies and leading to extended supply times for vehicles,” said Jason Chamberlain, sales director at ATS Euromaster.

“The current escalating crisis in the Red Sea looks like it could, at least temporarily, interrupt supply lines cutting short the availability of new vehicles just as deliveries are beginning to ease. It will certainly mean even longer fleet use cycles with an increase in the SMR requirement and more proactive fleet management to ensure vehicles are kept on road.”

The warning from ATS Euromaster comes as new data from epyx 1 Link3 highlights the growing age of cars and vans on fleet, with a significant increase in lead times between when a company car or van booking for SMR is created to when the vehicle goes to the workshop – from 11.87 days in 2021 to 12.92 in 2022 and up to 13.74 in 2023.

“This new data emphasises what we have been talking about,” added Chamberlain. “Proactive fleet management is becoming ever more critical to ensure vehicles off road are kept to an absolute minimum. Fleet managers must plan SMR activity in advance as well as MOT requirements as vehicles age. Workshops no longer have the capacity to take short-notice maintenance work.”