Automotive Exports November 2021

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ABA Automotive excels in exports of belt tensioners, idler pulleys, Multi-V Belts, timing and PK kits Rafet Berk Bulut: “First, we need to export culture and characteristics, not products. If the name of “Made in Turkey” improves, I have no doubt about the capability of Turkish manufacturers” ABA Automotive, which has been serving the sector since 1982 and started its operations under its own name in 2002, continues its activities in the most important areas of the automotive sector such as belt tensioners, idler pulleys and OAPs. Pointing out that they export most of their production, Rafet Berk Bulut, ABA Automotive Business Development Manager, stated that they are working on the demands coming from the Americas region in the coming period. First of all, can you furnish us with some information about ABA Automotive? How long have you been serving in the industry? We have been in the industry since 1982. Our journey begins as a spare part retail shop in Istanbul-Goztepe. We still have these retail shops. But ABA Automotive has officially established in 2002. Since 2002, we have been manufacturing belt tensioners, idler pulleys, OAPs and since 2017 we have Multi-V Belts, timing and PK kits in our range. Currently, we have two factories in Tekirdag and one distribution hub in Istanbul with total of 200+ employees. Could you tell us about the products you produce on the automotive side and the features of these products that distinguish them from their similar products? We are manufacturing powertrain parts. These parts require sensitive manufacturing and plays a big role in the November 2021 38
engine performance. If your timing belt slips from the tensioner, it may cause whole engine to be damaged. We have many advantages and disadvantages compared to our competitors. I think the biggest difference of ABA is reliability. We have a warranty that can cover every cost like towing, demaged parts, labor etc. not only the product. This is how much we trust our production. We are offering the optimum product in a mid-price level for the market. This is also really important for our customers to choose us. What are the countries and regions you export to? Are there any new markets and countries that you intend to enter? What are your export plans for the next year? Approximately %80 of our sales are export. Most of this %80 is Europe. France and Germany is %50. We are exporting tensioners every year to more than 50 countries. We have distributors in Chile, New Zealand, Cote d’ivoire. Regarding to the new markets, we have a big demand from North and South America. We are also planning to increase our availability. In today’s market, availability is maybe the most important point. We have some short-term plans to open regional distribution hubs in EU and North America in the following years. How has COVID, which has affected the whole world in the last 2 years, affected you? What advantages and disadvantages have occurred both in production and in marketing? Covid-19 has affected all the supplychain for all industries. In the first year of pandemic, everybody was panicked. Some of our customers increased their supply and some decreased. But the real impact on supply-chain hit in the beginning of 2021. All the raw material prices are increased a lot. Today as November 2021, Aluminum price has increase more than %100 in the last 16 months. When it comes to us and auto parts industry, Aluminum is really crucial and highly consumed raw material. But worse was not the price increase. The biggest problem was availability. Even with the increased prices, manufacturers couldn’t purchase the basic raw materials with demanded volume. We were also affected negatively on raw material problems but, hopefully we have had stocks and alternatives suppliers. I think there were so many opportunities during the pandemic. There still are. Everybody increased their prices, availabilities changed, that created opportunities for manufacturers to work with new customers. We are also one of those manufacturers. Every crise creates opportunities. In conclusion, I would say that for us, pros were more than the cons. Our sales grew %40 in one year despite the supply chain problems. As someone from the industry, what would you like to say about Turkey’s place in the world in the automotive industry? Turkey is an important country for Automotive OEM and Aftermarket. Lots of OE manufacturers and aftermarket manufacturers are supplying not only for domestic market but also exporting all over the world. After the recent changes in the global supply chain, manufacturing in Turkey has improved and the trend looks to be improved even more. That is of course a good thing but we also need to increase the sales of Turkish branded products. It is really sad to see Turkish brand names trying to be look like German and German distributors rarely sell Turkish branded products. This applies for all industries in Turkey and I believe it is still fixable. Maybe not in a short term but long term. First, we need to export culture and characteristics, not products. If the name of “Made in Turkey” improves, I have no doubt about the capability of Turkish manufactures. In order to that, we need to be reliable and honest to both our customers and suppliers in the global trading. Trust is the most important point in sales. As a country, I believe these are the points that the Turkish manufacturers should improve. 39 November 2021
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Automotive Exports November 2021

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