AFTERMARKET INTERNATIONAL 22-3 ENGLISH

OUT FRONT

See you at AAPEX and welcome SIDEM

HHello and welcome to our 3rd quarter issue of 2023.

It’s a very important issue for us. Why? From the time I became Publisher in 2007 we always had physical distribution at AAPEX. And we still do. But in addition to that, we are now EXHIBITING at the show for the very first time. That’s a really big deal for us, if I may be immodest a bit, and shows the confidence our new owner LATIN PRESS INC. (LP) has in us. LP added more issues this year, started a weekly newsletter and now has our brand exhibiting at AAPEX. Look for this issue there, in addition to on our site www.aftermarketinternational.com

We are also happy to announce we will have the second edition of our own tradeshow, AutoAmericas, again next year. We have moved the dates to ThursdayFriday, March 7-8, 2024. It will be at the Miami Airport Convention Center. And again attendees will consist of buyers from Latin America and South Florida. I hope you can join us there and at our booth at AAPEX.

AFTERMARKET INTERNATIONAL has long had a relationship with ARNOTT AIR SUSPENSION. And thru that relationship I got to know the folks at SIDEM, out of Belgium. I first met Iwan Loewen, their Business Development Manager for North and South America, at AutoAmericas this year and we are happy to welcome them to our family of marketing partners. They are advertising in both our English and Spanish editions. We also have an interesting story on them that I hope you’ll take the time to read. It’s their 90th anniversary.

In important news since our last issue, First Brands Group has acquired 53-yearold Cardone Industries. Cardone has been a major name in the aftermarket for many years, and adds to the large stable of brands FBG now markets under. It will be interesting to see how they exhibit Cardone at AAPEX.

In adding Cardone, First Brand’s portfolio includes Fram filtration products, Autolite spark plugs, Centric Parts, Anco/Trico wipers, Luber-Finer filtration products, Carter fuel and water pumps, Raybestos brakes and StrongArm gascharged lift supports.

It's their second acquisition this year, as they previously acquired Horizon Global Corp.

Besides the SIDEM feature, this issue has the following pieces:

-Challenges and opportunities of the auto parts trade in Latin America

-Inspection of electric pumps: Mercedes Benz Clase A W-168

-Profile of Milagros Méndez, CEO of Ramco Automotive

Thanks All!

Brad Glazer, publisher Aftermarket International

It is a periodical publication owned by Latin Press, Inc.

Produced and distributed for Latin Press, Inc. by Latin Press Colombia and Latin Press USA

GENERAL MANAGEMENT

Max Jaramillo / Manuela Jaramillo

EDITOR IN-CHIEF

Duván Chaverra dchaverra@aftermarketinternational.com

EDITOR Federico Duarte fduarte@aftermarketinternational.com

PROJECT MANAGER Andrés Caballero acaballero@aftermarketinternational.com

PUBLISHER Brad Glazer bglazer@aftermar ketinternational.com

ACCOUNT MANAGERS

MÉXICO

Sandra Camacho scamacho@aftermarketinternational.com

COLOMBIA

Fabio Giraldo fgiraldo@aftermarketinternational.com

DATABASE MANAGER

Maria Eugenia Rave mrave@aftermarketinternational.com

PRODUCTION MANAGER Fabio Franco ffranco@aftermarketinternational.com

LAYOUT AND DESIGN Jhonnatan Martínez jmartinez@aftermarketinternational.com

FRONT PAGE

Aleksandr Kichigin - Canva

OFFICE PHONES: Latin Press USA Miami, USATel +1 [305] 285 3133

Latin Press Mexico Ciudad de México Tel +52 [55] 4170 8330

Latin Press Colombia

Bogotá, Colombia

Tel +57 [601] 381 9215

São Paulo, Brazil

Tel +55 [11] 3042 2103

The opinions expressed by the authors of the articles in this journal do not commit the publishing house.

Ways for greater trade in auto parts

During our visit to the Latin Tire & Auto Parts Expo in Panama City, we had the opportunity to see firsthand the operation of the emblematic Canal, along whose 82 kilometers of length, 14,132 ship transits were recorded last year. In 2021, this represented 2.4% of global maritime trade.

This road with centuries-old history located on an artificial lake that connects 180 maritime routes, which reach 1,920 ports in 170 countries, marks the economy of a country with a vehicle fleet that exceeds one and a half million vehicles. 75% of these circulate in the capital, and most of them travel with Japanese and Korean brands.

Even though sales of new vehicles have decreased in this Central American country, demand for spare parts has persisted at a good pace.

Distributors realize this by offering replacement parts from original equipment manufacturers (OEM) well valued by their customers. These are supported by the average price reached between concession agencies and the respective manufacturer to introduce the product to the market after paying the corresponding customs duties.

However, in different Latin American countries some customs-type work persists and others that we collect in the main article of this issue. We hope that these can be noticed by the different governments to boost imports and exports of spare parts, and thereby encourage foreign investment.

Each country has its own way: from the request of Argentine auto parts manufacturers to reduce an import tariff on certain capital goods that affects national production to the measures demanded by the sector in Colombia to simplify procedures for importing inputs not produced in the country.

Meanwhile, Mexico has taken advantage of free trade agreements such as the T-MEC with the increase in the Regional Content Value (RCV) of the parts and components imposed by it, which, together with the relocation of Asian companies, has resulted in an increase in its participation in the US market.

However, some weaknesses and threats identified by professionals in the same market persist and must be addressed so that production and marketing can be aligned in the future. In response to this, there will be more escape routes from any commercial imbalance with situations such as the recent Canal drought.

Federico Duarte Editor

18/ Inspection of Mercedes Benz A-Class W-168 pump (Part I)

22/ The miracle of working in new lands

ONLINE DIGITAL EDITION

Find information, contacts, links to industry associations, free literature from businesses that advertise in the publication, events, and downloadable issue archives dating to 2007 at aftermarketinternational.com

For advertising, contact Brad Glazer at 216 233-6943 bglazer@aftermarketinternational.com

Mexican lessons for the auto parts trade in Latin America

Although Latin America has common challenges in terms of installed capacity and technical training, Mexican leadership in auto parts production and export can provide clues for the growth of the industry in the region.

In June of this year, the National Auto Parts Industry of Mexico (INA) had a national record in the production of auto parts, reaching 10,569 million dollars, 29% higher than the pre-pandemic record.

“It should be noted that with this result we have completely surpassed the pre-pandemic and postpandemic figures, with 29.73% and 21.39% more respectively, which shows the strength of the auto parts sector and the great opportunity for Mexico to capitalize even more investments in the sector,” noted the general director of the INA, Armando Cortés Galicia, during a joint press conference with the Mexican Association of the Automotive

Industry (AMIA) and the Mexican Association of Automotive Distributors (AMDA).

Thus, the INA forecast a value of US$115,802 million by the end of 2023, of which 86% represents the export of auto parts and another 14% for the domestic market.

“A large part of this percentage of auto parts for the domestic market ends up in vehicles that the manufacturers export to a large extent, so Mexico's export role in the industry is explicit,” said Cortés Galicia. According to the AMIA, the assembly plants installed in Mexico worked at a capacity of 93.1% on average during the month of June and averaged 90% in the first half of this year.

In this way, the positioning obtained by Mexico as the fourth largest producer of auto parts worldwide reflects a clear export potential, for which it is crucial to capitalize on the relocation of

value chains and overcome current challenges, as maintained by the Association itself. This same call is amplified for the industry in Latin America as a reflection of the common path ahead.

Multiple opportunities

The northern area of Mexico concentrates 43.3% of auto parts production, followed by Bajío with 34.9% and the central area (Puebla, Tlaxcala, Morelos, Mexico State and CDMX) with 16.1%. This last area represents the market share of an entrepreneur in the industry of that country such as Gerardo Medina-Carrillo, who carried out research on the marketing of auto parts in this country for his MBA degree from the Instituto Tecnológico Autónomo de México.

He found that in 2019, the year before the start of the pandemic, Mexico had a vehicle fleet of 36,162,563 units and 610,000 direct jobs generated from the marketing of auto parts, which represented 0.75% of the national GDP.

Among the opportunities identified for this market, he pointed out the incorporation of electronics, software and artificial intelligence, which demand a greater number of parts integrated into the vehicle.

Likewise, he found a favorable trend in the gasoline car market: increases from 100% to 600% in the market segment. At the time, he highlighted regulations on account of stricter environmental laws. It is worth saying that battery electric vehicles represented 18% of sales in the electrified segment in June, while plug-in hybrids or plug-in hybrids reached 8% participation and conventional hybrids 74%.

Added to this are electronic alliances and electronic commerce, represented by companies such as eBay and Amazon. These global marketplaces have become strategic allies. According to eBay data, the 'Auto parts and accessories' category is in the top 10 with the most sales from Mexico; thus, overseas best-selling items include pre-heaters, remote controls, gasoline injectors, front grills, and blow-off valves.

Mexico has an important participation in the marketing of these items, as it exports millions of unique pieces to markets such as

the USA, Puerto Rico, Canada, Peru, Chile, Germany, the United Kingdom, Australia, Japan and Poland mainly.

Threats on the horizon

Gerardo Medina-Carrillo recognizes that entering this industry is relatively easy given the globalized environment, the possibilities provided by electronic commerce and the vast information that is shared on different platforms such as Amazon or Alibaba.

“However, the technical lack of knowledge about the processes and procedures to import goods, cultural differences, geography and language; In addition to the need to have a wide portfolio of reliable suppliers and a thick portfolio of loyal customers, the threat of new entrants is of medium power," he points out carrying out an analysis of the industry through the five forces of Porter.

To this, he adds the low bargaining power that original equipment suppliers have, as there is a huge supply of auto parts just a click away. “The vehicle owner is concerned not about replacement with original parts, but rather that his work tool works,” says Medina-Carrillo.

On the other hand, Gerardo highlights the increase in the power of substitutes, and focuses on three of them: dealerships (automotive agencies), the gray market and the black market for auto parts.

Finally, he insists that the high concentration of competitors not so specialized in the same product line reduces rivalry within the sector.

Customs obstacles on the way

“The dynamics of the auto parts sector in foreign direct investment is something

not previously seen and we hope that it will continue to consolidate," said the general director of the INA. He indicated that a foreign direct investment (FDI) of US$1,398 million was registered in the first semester of 2023, 38.79% more than in the first semester of 2022, which is a higher result than the FDI of auto parts in all of 2022 by 9.38%.

An element that the INA highlights as key to this are the investments derived from nearshoring, that strategy adopted by multinationals to transfer their operations

to a country close to their final destination by taking advantage of the competitive advantages of these neighboring countries, as is the case of Asian companies in Mexico aimed at the North American market.

En esa medida, la fabricación de autopartes de México fue el principal receptor de esta reubicación de inversiones, por encima de otros rubros, con un 37 %. Esto, entre otras, por su know how, menores costos laborales, infraestructura, así como condiciones aduaneras incluidas en el tratado comercial entre México, Estados Unidos y Canadá (T-MEC).

Taken DIAN website

“They completely opened the conditions, even cross-border, to eliminate technical obstacles,” comments Francia Hernández, Hernández y Abogados S.A.S CEO and director of the Foreign Trade consultancy of the Asociación del Sector Automotriz y sus Partes (Asopartes) Association.

The obstacles referred to are the delays of more than 30 days that the entry of a piece can cause due to customs requirements, to the detriment of the Agreement on Technical Barriers to Trade (TBT Agreement) administered by the World Trade Organization (WTO).

With this, there is a passive perfection, a customs regime that allows temporarily exporting goods with suspension of payment of customs duties to be subjected to some transformation, processing or repair for subsequent reimportation.

This discourages investment in Latin American countries that, furthermore, do not have a strengthened productive chain for exports. In Colombia, for example, the Virtual Business Center (CVN) registered 10,692 companies that during 2022 carried out trading and manufacturing activities of parts and accessories for motor vehicles. Of these, 82% were identified as microenterprises, and were in charge of 12% of the sector's income, while large companies produced 57%.

During the first quarter of this year, Colombia presented a slowdown in auto parts imports of 25.04% compared to the

same period of the previous year. The country from which it imported the most was China with almost 50% of the market. This was followed by the United States, and from there other Asian countries such as Japan and South Korea, as well as other Latin American countries such as Brazil and Mexico itself.

To address this persistent obstacle, Lawyer Hernández suggests the Voluntary Advance Declaration which, as a general rule, optimizes operation and reduces the time for customs clearance of goods. In this way, there will be fewer obstacles and more levers that stimulate auto parts trade in the region.

SIDEM celebrates 90 years of crossing borders

By Aftermarket International

The opening of new markets in America is part of the sustained growth of this expert company in the automotive sector, which gained further momentum 40 years ago with the acquisition by the Verfaille family.

Ninety years ago in the Hounslow Borough, west of Greater London in the UK, Standard Link Innovation Limited could only envision a growing world beyond the River Thames. However, barely a year after being incorporated as SIDEM, the main center of activity of this manufacturer specializing in the design and production of parts and suspension for the aftermarket had already moved to Antwerp, Belgium.

It was 1934. That year a production unit for spare parts for automobiles was launched

in parallel at a plant in Audergherm, on the outskirts of Brussels. Thus began the story of a company that over time would stand out with quality and product range, manufactured in Europe, becoming known across borders and other continents.

An unstopabble drive

In 1983, Walter Verfaille acquired SIDEM and took charge of the company. His daughter, Gwen Verfaillie decided to follow his professional footsteps after his death in 2010, and who today leads the company as CEO.

“When my father bought SIDEM in 1983, he knew how to give the company a new direction. Production moved from Lichtervelde to Roeselare (Belgium) before opening the production facility in central

Europe. His passion and his entrepreneurial spirit have always inspired me,” says Verfaillie, who started working at SIDEM just after graduating. Because of her family history, the automotive world was not new to her.

In 1986, the company's growth would become evident when it moved to new facilities in Roeselare, Belgian city, with 10,000 square meters.

In 2001, the company opened a plant in Romania and significantly increased its production capacity. A decade later, in 2011, and now with Gwen Verfaillie in charge, SIDEM moved to an automated distribution center in Gullegem, Belgium. The new headquarters reached 12,000 m2 within a 27,000 m2 business park.

This expansion led to further increase in SIDEM's product range: control arms, ball joints, tie rods, axle joints, bushings, stabilizer links, strut mounts and steering rack gaiters. Today for almost all vehicles, both passenger and light commercial, SIDEM has the solution for European, Asian and other nameplates, with more than 4 million parts in inventory.

Since 2019, SIDEM has had an industry leading digital catalog where customers can search for steering and suspension parts.

From Europe to the world

Iwan Loewen, Business Development Manager for North and South America, says that SIDEM's premium products, made in Romania, are developed in-house with a strong focus on longevity, 100% OE fitment and uncompromising safety.

"Our success on a global scale is undoubtedly due to the long collaborative relationship we maintain with distributors in local markets around the world," says Gwen Verfaillie.

Gwen further highlights SIDEM as the "one-stop shop" specialist with the best product coverage in the industry. She further reemphasized: “the most important reasons to work with SIDEM are quality, reliability and stability. For this reason, customers choose SIDEM as their long-term trusted partner.”

This is what has motivated partners outside of Europe: from partners for the Middle East and Africa to making the jump over the Atlantic and growing throughout America with clients in countries like the United States, Canada, Mexico, Puerto Rico, Brazil, Paraguay, Chile and Uruguay. SIDEM also collaborates with partners in countries such as Ecuador, Peru and Bolivia.

Certified quality

“If by experience SIDEM believes OE quality can be improved, the part is re-engineered,” says the company, which is audited by external organizations. The Quality Management System is accredited according to ISO9001, ISO14001 and ISO45001. SIDEM is also certified according to IATF16949.

Gwen Verfaillie

Iwan Loewen

Besides the focus on the Aftermarket, SIDEM is also an OEM supplier to various premium vehicle manufacturers.

"We only bet on superior quality: we have original equipment (OE) as the standard," says the CEO Gwen Verfaillie, who points out that SIDEM is a 'tier 2' supplier in the assembly of new vehicles.

“But that is not all: top customer service also includes availability. SIDEM has an average service level of 98%, the highest score in the sector”, highlights Gwen Verfaillie.

A promising future

"We look forward to the future and the electrification of vehicles," says Iwan Loewen. As Electric Vehicles still need steering and suspension components, SIDEM is ready for the future!

Because electric vehicles are heavier and develop more initial torque during acceleration, there is an increased demand for our products in the aftermarket, for which SIDEM has a wide portfolio for (see box).

“It is very clear: SIDEM will continue to

focus on customer satisfaction through superior products in the segment of steering and suspension parts, maintaining the maximum coverage and level of service. Even in 'new' segments such as electric vehicles, SIDEM already has the largest product offering in the aftermarket,” says Gwen Verfaillie.

Specialized parts for electrical transition

As more cities adopt low emission zones and the European Union requires all new cars to be CO2 neutral by 2035, the shift towards electrification in the automotive sector is unavoidable.

The number of electric vehicles in Europe has gone from 1% in 2017 to 9% in 2021, according to the European Association of Automotive Suppliers (Clepa). Additionally, the World Economic Forum predicts that 300 million electric vehicles will be in use in the US by 2030.

SIDEM's range of EV steering and suspension parts includes 960 unique references for 32 European and Asian brands, covering 84 % of the aftermarket. No other company has that amount and quality of coverage for BEV-adapted steering and suspension parts.

Despite the shift to electric vehicles, the impact on the aftermarket for steering and suspension parts is relatively limited. However, EVs are heavier than gas-powered cars due to their battery pack, putting additional strain on steering and suspension parts. According to the company, SIDEM's range of EV parts has been designed to withstand the additional weight and torque, ensuring maximum strength and safety.

Some examples of SIDEM's designs in its EV components: larger diameter ball studs embedded in ball joints, axle joints and stabilizers; suspension arms with ball joint incorporated into the aluminum housing; silentblocks with an extra metal ring or hydraulic spaces for greater driving comfort.

For more information on SIDEM's range of steering and suspension parts for EVs and other vehicles, you can visit www.sidem.eu

Inspection of Mercedes Benz A-Class W-168 pump (Part I)

By Carlos Panzieri*

In this first part we will review the electric power steering (EPS) of the pumps of the first generation Mercedes Benz A-Class model: the W-168, introduced in 1997.

The main problems of this pump are the infiltration of water between the cover and the basement, the consumption of brushes and their contact point on the rotor.

There are two versions of this pump: one has the gear and requires the EMMETEC’s 38X629 kit, while the other has the rotor and requires the EMMETEC’s 38X630 kit.

A. Access to the electronic board

1. Acting on the tabs (picture 01 green arrow), lift the protective cover of the electronic board.

a. With the degreaser Emmetec Z-07004, clean perfectly the edge of the cover, removing all traces of the old mastic.

2. Unscrew the bolts 2 and 4 of picture 02

3. De-sold the blue wire that allows the ignition of the pump (picture 02)

4. Remove the capacitors-plate (picture 02 green arrow)

a. Replace the original capacitors with W-05219 and W-05115

5. Remove the screws 1 and 3 in Figure 02.

6. Remove the four screws tighten the bridge to the base (picture 03 green arrows)

7. Remove the card (picture 03 red arrow);

a. this operation will damage the card but is not a big issue because must be substitute. Just be careful not to damage the base and the

Imagen

Imagen

bridge. For this operation, it is suggested to adopt thin tools and a plastic hammer.

B. Dismounting of the group pump-motor

04).

2. Remove the tank discovering the pump (picture 05).

3. Remove the two torx bolts (picture 06) and the body of the pump (picture 07).

4. Remove the o-ring (picture 07 green arrow) and put the one provided into the kit.

Imagen 3

Imagen 4

Imagen 5

1. Unscrew the bolts fixing the tank to the base (picture

a. WARNING: if the original position will be not respected, the motor will turn into the wrong sense damaging both the hydraulic components and the electronic ones.

7. Unscrew the two torx bolts joining the bottom cup to the stator (picture 10).

a. Replace the o-ring with the one into the kit (image 11).

8. Remove the rotor (picture 12) and checks its conditions, especially where touching the brushes (picture 13 green arrow), where the maximum acceptable wear is 1mm on the diameter.While the diameter is within the tolerance, it could be enough to clean the contact point; otherwise, it is mandatory to substitute the rotor with the codes T-00078, T-00078A or T-00078B.

9. With a torx key, remove the two bolts and the brush-keeper (picture 14).

Imagen 6

Imagen 7

Imagen 8

Imagen 9

Imagen 10

Imagen 11

5. Remove the joint (picture 08 –joining the axle of the pump to the motor one), its rubber housing and the cir-clip (picture 09).

6. In order to avoid confusion during the re-assembly, it is suggested to mark the position of the stator and the rotor (picture 10, green mark into the red ellipse).

10. Substitute the o-ring with the one enclosed into the kit.

1. Enter the rotor using a light hummer of PVC

2. Check the position of the brushes, and if not in contact with the rotor, push them out with a screw-driver

3. Mount all the components previously removed in the reverse order;

4. Test the group motor-pump excluding the electronic regulation system, with a power supply at 12V and maximum 10/15A, double checking if:

a. the motor works properly;

b.the power consumption load-free to be less than 10A.

In the next chapter, we will go deeper in details regarding the rotor and gear pumps, the electronic board substitution and the closing step.

In the meantime, for more information and clarification, please visit the www.emmetec.com and www.orpav.com sites, or the website of www.jadausa.com, his distributor for North, Centre and South America asking for introductory courses.

Imagen 12

Imagen 13

Imagen 14

11. Check the bearing (picture 14), and if needed, change it.

12. Place the new plate brush-keeper V-04023 and tight the two screws.

C. Group pump-motor re-assemblying

* Technical consultant for Emmetec & Orpav panziericarlos@gmail.com

The miracle of working in new lands

By Federico Duarte Garcés

Milagros Méndez, Ramco Automotive CEO, was the only Latin American recognized in the recent list of 31 Women at the Wheel by Aftermarket News magazine.

At the end of her conference at the AutoAméricas Show, attendees approached Milagros Méndez as if she were a rockstar. At the applause at the end of her presentation about women's leadership in the aftermarket industry, different professionals who were part of the audience stopped to congratulate her, in the same way that others would do as she passed through the exhibition floor of the Miami Airport Convention Center (MACC).

The scene would be repeated a couple of months later at the Auto Care Connect fair, held in Orlando. A few weeks ago, Aftermarket News magazine had included her on its cover dedicated to the 31 Women at the Wheel. She was the only Latin American selected in this select list.

“People congratulated me and laughed with me,” says Milagros, who more than 20 years ago moved from her native Venezuela to the United States, where she embarked on an unprecedented career that has earned her recognition in the North American auto parts market.

However, this trip has not been without tears due to the difficulties along the way, which she has been able to overcome thanks to the encouragement of friends, brothers and parents; especially her mother, who died days before her presentation at AutoAméricas. This meant another challenge in her professional career, which has been guided by that “hug without measure” of hers, which represents a fixed point in her memory.

Punto Fijo to Miami

Milagros' childhood took place in an oil field in a small city in the north of Venezuela, in Falcón State, more specifically in the southwest of the Paraguaná peninsula, which about a century ago was called Punto Fijo.

This place, which currently has around 290,000 inhabitants, is considered one of the most attractive cities to invest in as it is located in a unique tax-free zone in the region, where one of the largest refineries in Latin America is located. Milagros's father worked there, while his mother excelled in several positions in the legal area.

However, his father's free time was on his farm, as a rancher, while her mother went to collaborate in the church. From both of them she learned, along with her six older brothers, to be an example and help others.

“I can tell you that I feel very proud of my parents, and if I were born again I would choose them again… Can you imagine being able to have that privilege? Wow, I dream about it; that immeasurable hug from my mother… only I know,” says Milagros after a pause in the middle of her nowdays.

At that time, Sundays with them were going to church in the morning and movies at night. During the week, after school, she used to play various sports; from soccer, water polo, and even bowling and water sky, but above all tennis, the one in which she stood out by practicing since she was six years old.

“I grew up in an environment that today I tell you and perhaps it sounds almost impossible; “It was like a fairy dream, since I had a wonderful childhood full of many things, and above all a very healthy environment,” she recalls before taking a flight back to her current home in Miami.

Entrepreneurship in foreign lands

The decision to leave for Miami came some time after obtaining her law degree at the age of 21 and having worked in a court of law in Venezuela during her studies.

After graduating, she would work as a paralegal at a renowned law firm. Later, she would study a postgraduate degree in customs, while she would get involved in different ventures, to the point of having three copying centers and a cafe-restaurant in one of the most exclusive areas of Caracas.

However, the political situation in her country began to deteriorate, and with the aim of discovering and embarking on new paths, she left for the United States. Once in Miami, she decided to take almost a year off to define what she wanted to do and give herself the opportunity to get to know the new city to which she had moved.

She began studying at the National Association For Foreign Attorney (NAFTA), where she obtained the title of paralegal. However, her professional plans changed when she received a call from a childhood friend of hers, owner of an auto parts distribution company

From

in Venezuela, who told her that her main supplier was not fulfilling orders.

He, a mechanical engineer, urgently needed her help to acquire automotive sensors. “But I know absolutely nothing about this; “Talk to me about law, but not about spare parts,” Milagros responded. "Don't worry; “I'll teach you,” he told her on the other side of the line.

From that moment on, he told her step by step what to do and how the industry worked. Thus, he understood how to test a sensor, change a fuel filter, an injector, remanufacture one part or the other.

"Anyone who is going to get involved in a business has to know: the pastry chef, for example, has to know how he puts the sugar, what the ingredients are so that the cake is well made and people love it, so there are rules and regulations to guarantee a good quality product,” says Milagros, who with each guideline received delved deeper and deeper into the world of the aftermarket.

So much so that she stopped sleeping and found boxes from suppliers flooding her house, which she took out in two or three containers a week to her native Venezuela. This led her to rent 1,000 square feet in El Doral and hire a woman to help her pack when large orders arrived, already from an even larger distributor in Venezuela.

However, it was also beyond her capacity and she had to move to a larger commercial location.

During an AAPEX fair, an important client from Mexico proposed to her to distribute his product, for which he inquired about the name of her brand. This would barely emerge during a trip at the beginning of this century a few months after the death of her father: Ramiro Méndez. The initial syllable of her name became the basis for her recent venture, to which she added the 'co' suggested by a friend, “because that's going to be something big.” This is how Ramco Automotive was registered.

New Horizons

The sea, with its contours indivisible to the horizon, has been an indispensable element in Milagros's life, along with music, meditation and the passion for traveling and, along with it, discovering new frontiers. These have meant limits to overcome, such as when Venezuela's economic situation deteriorated and many of its clients stopped paying.

“We found ourselves in serious problems, with more than half a million dollars in uncollected accounts receivable, bringing Ramco to the point of almost collapsing,” says Milagros, who remembers that at that time, a good friend of hers, Clarisa Giannelli, moved to Miami.

She told her about the company's situation and how its dependence on the Venezuelan market had left it without money.

Immediately, Clarisa, who knew the logistics part from her experience in a printing company in Venezuela, began to compile a broad list of distributors not only in Latin America and the Caribbean, but even Europe. Thus, the company took a second breath of expansion, to the point of opening to the United States market with the help of large distributors such as Woman in Autocare, Autocare Association, AWDA Warehouse Distributors, among others.

“This decision would prove to be significantly more challenging than anticipated, as in the United States, this was, and continues to be, a predominantly male-dominated industry,” notes Milagros.

“This decision would prove to be significantly more challenging than anticipated, as in the United States, this was, and continues to be, a predominantly male-dominated industry,” notes Milagros, who along the way met Tammy Tecklemburg, CEO of dott, “a trusted voice in navigating the industry and essential to our recent success.”

Around the time of publication of the list of the 31 Women at the Wheel, Tammy congratulated Milagros by commenting on her LinkedIn profile that “the hurdles that you jump over every day to work and win in the US Aftermarket are truly unbelievable. You inspire us all with your resilience and dedication to sparking change.”

Milagros herself acknowledges that “for more than 20 years, our business journey has faced many barriers.” Therefore, at the end of her presentation at the AutoAméricas Show, she left severak tips for the audience present at the MACC in Miami.

Some were more business-oriented, such as the suggestion to diversify the book of business so that no account reach for more than 10% of your income. Others, more from her core and that reflect the spirit that she has projected throughout her life: “Always trust yourself, your instincts, take action and remember that you set the limits. My advice is to follow your intuition, and don't let anyone turn off your light: fight every day for your dreams.”

Mahle wins order for hydrogen engines

International. Mahle has received a order from engine manufacturer Deutz for the development and supply of components for hydrogen engines.

These are the so-called power cell units, i.e. units composed of pistons, piston rings and piston pins, which Deutz intends to install in stationary hydrogen engines for the first time from the end of 2024.

Other applications are planned in the off-road sector, such as agricultural and construction machinery. These new engines can run in a climate-neutral manner with regeneratively produced hydrogen, as no CO2 is produced when hydrogen is burned.

Mahle has been working on engine systems for hydrogen and other climate-neutral fuels for years. The technology group in Stuttgart is bringing this knowledge to the Deutz project.

"We see hydrogen as an important component for sustainable mobility, especially in the commercial vehicle sector. This project with Deutz is a milestone with a lighthouse effect, because it shows that there are other technological levers to achieve climate neutrality in addition to electrification," said Arnd Franz, Chairman of Mahle Group Management and CEO.

Dr. Sebastian C. Schulte, CEO of Deutz, said: "To keep the world moving, we need different technology options. What a climate-neutral excavator or combine will look like remains an open question. Several options are possible for engines that are constantly in use and move

large loads. One of them is the hydrogen engine."

"Our successful pilot projects show the potential in the commercial vehicle sector. With Mahle, we now have a strong partner that will help us start series production of our hydrogen engines by the end of 2024," Schulte added.

For use in the hydrogen engine, MAHLE has further adapted and developed the aluminium piston and piston ring package from classic diesel technology. A big challenge in hydrogen combustion is finding the sweet spot between the gas mixture that is pressed into the crankcase during the combustion process and oil consumption.

The technology group has already extensively demonstrated the reliability of hydrogen components in a wide variety of engine classes.

"To achieve climate protection goals, we need to use the potential of all available propulsion technologies," Franz said.

Mahle is therefore betting on technological diversity as part of its corporate strategy: in addition to electromobility, including fuel cells and thermal management, what counts for Mahle is the climateneutral green combustion engine, operated with non-fossil fuels such as hydrogen, among the future technologies for a sustainable propulsion mix.

In March 2021, the technology group commissioned a new test center for hydrogen applications on an area of 1,400 square meters at its headquarters in Stuttgart.

Witzenmann expands its plant in Guanajuato

Mexico. The German company Witzenmann, dedicated to the manufacture of flexible couplings for the automotive industry, inaugurated the expansion of its plant in Apaseo el Grande, Guanajuato, where they have been installed since 2015.

"It is an honor to share with all of you the inauguration of this expansion of a world-class company and in Guanajuato we are proud to have you here in our territory," said the governor, Diego Sinhue Rodríguez Vallejo.

With an investment of 14 million dollars, this expansion includes the construction of a new warehouse, service areas and offices, which will allow the company to manufacture new generation high-tech products, increasing its production capacity by 100%.

The new building, measuring 3,500 square metres, will generate 352 new jobs over the next five years. These will be added to the more than 1,200 additional indirect jobs that are expected to be generated.

Witzenmann has been operating in Guanajuato since 2015 and with this expansion has invested more than 40 million dollars in Guanajuato in eight years.

This expansion also includes the installation of 1,000 solar cells to reduce the environmental footprint through the use of clean and renewable energy.

Witzenmann's customers include Audi, Mercedes Benz, General Motors, Tenneco, Volkswagen and Rivian (a U.S. manufacturer of electric cars).

INA: Auto parts production to reach all-time high this year

Mexico. The executive president of the National Auto Parts Industry (INA), Francisco N. González Díaz, predicted the production of auto parts in Mexico at the end of 2023 will have a value close to 116,000 million dollars, which will be a historical maximum that consolidates the country as a world leader.

The announcement was made during the twenty-first edition of the International Congress of the Automotive Industry of Mexico (CIIAM), organized by the INA, which takes place between July 10 and 11 at the Hacienda de Los Morales, Mexico City.

The event brings together 250 business leaders, academics and government authorities from Mexico and abroad, in a program of conferences and networking in which around 30 expert speakers participate with presentations focused on three thematic axes: electromobility, human talent and nearshoring.

The objective is to discuss the most relevant issues today for the development of the national auto parts and automotive industry.

During the opening ceremony, the executive president of the association also highlighted the importance of human capital in the transition to electromobility for Mexico's automotive industry following recent investment announcements attracted by nearshoring.

Also, during the inauguration, Margarita Alcántara, general director of Global Economic Impulse of the Ministry of Foreign Affairs, announced virtually that "INA is a strategic and fundamental ally to continue the work of economic promotion and continue attracting investment projects in Mexico in the auto parts sector."

Likewise, Alcántara reported that "21% of the added value of electric vehicles in North America come from Mexico."

Other relevant topics that will be addressed are the electrification strategy for the supply chain, the role of women's leadership in the energy transition of transport, air electromobility, the motorcycle industry in Mexico, attraction of foreign investment and suppliers, as well as technical-higher training in electric mobility, among others.

The Japanese supplier Sumitomo will be installed in Tabasco

This investment of approximately 10 million dollars will generate around 700 new direct jobs in the municipality of Cunduacán.

During the event, the governor thanked the Japanese company for its confidence in the commercial and logistical advantages of Tabasco.

Now, the state could boost the arrival of other suppliers of Tier 1 or Tier 2 auto parts, as the state of Yucatan has done little by little.

Merino Campos also highlighted the increase in economic activity in the state, with a growth rate of 24.3%, one of the highest of all states in the country.

Mexico. Sumitomo Electric Wiring Systems will become the first Tier 1 company in the automotive sector to settle in the state of Tabasco, where it will manufacture harnesses and generate 700 new direct jobs.

The governor of Tabasco, Carlos Manuel Merino Campos, led the announcement of the first Tier 1 automotive investment in the state, with the arrival of Japanese supplier Sumitomo Electric Wiring Systems.

Sumitomo Electric Wiring Systems will be located in the Tabasco Business Center industrial park, next to the Reforma-Dos Bocas highway and near the Isthmus of Tehuantepec corridor.

The land located next to the Ciateq Tabasco has an area of 37,000 square meters.

Arnold Motor Supply Acquires Barron Motor Supply

United States. Arnold Motor Supply and Barron Motor Supply announced that the companies have merged, marking nearly a century of customer service in the auto aftermarket industry.

Founded in 1930 by William J. Barron Sr., Barron Motor Supply is a multigenerational company with a network of 12 locations in eastern Iowa. The company is headquartered in Cedar Rapids, Iowa, and is currently under the direction of third-generation leader John Barron.

"Our 94-year family history in the automotive aftermarket is a testament to the excellent employees and customers we have had the privilege of working with," said John Barron, president of Barron Motor Supply.

"We couldn't have chosen a more likeminded company and better people to continue our legacy and respect our

history, our employees and our customers," Barron said.

"We wish them the best and know they will serve our customers with the same respect and connection we have known over the years," he said.

Arnold Motor Supply, founded in 1927 by E.P. Arnold, grew from a location in Spencer, Iowa, to nearly 70 in five Midwestern states. Both companies have earned a reputation for caring for their customers by offering quality products and services to the communities they serve, the companies say.

"Companies that last a century are rare, so the opportunity for two of them to join forces is a special opportunity," said Eric Johnson, president of Arnold Motor Supply.

"From the first conversation we had with John Barron, we were both struck by the

similarities between two Iowa companies founded three years apart nearly a century ago that do business the right way, putting the customer first," Johnson said.

"By combining our strengths and resources, we will be able to provide excellent opportunities for team members and expanded services for the East Iowa market."

Hunter Expands Supply Capabilities in Missouri and Mississippi

square-foot, 37-bay facility was designed to open up more production halls at existing plants while dramatically speeding up shipping times.

two days faster, sending them to the field earlier and with less effort.

United States. Hunter Engineering announced that over the past 12 months it has made a number of significant changes to its St. Louis headquarters and production facilities in Mississippi to ease supply stresses and keep products moving.

Last year, the company opened a new distribution center in Madison, MS, between its plants in Durant and Raymond, MS.

According to Hunter, the 106,000-

Finished goods are now stored and consolidated in Madison before being delivered to customers in a single, efficient shipment. The new center soon set a new record for the company by shipping more than 30 racks in a single day.

Earlier this year, Hunter says it restructured its St. Louis service center to streamline procedures and make more efficient use of space.

Employing a new automated packaging line, the packaging team completely reorganized operations to improve flow. The receiving team was able to process critical incoming parts

In addition, moving equipment to other parts of the building allowed walls to be removed, creating more space for storage and other uses, Hunter Engineering says.

Other improvements have been made to ensure consistent service across the company, Hunter adds.

"Hunter has always prided itself on not only producing innovative equipment, but also making sure our customers use it consistently," said Mike Redfearn, Hunter's vice president of manufacturing.

"We are very proud to have been able to maintain our usual standard of performance despite numerous supply chain obstacles," he said.

DMA appoints new director of products and marketing

United States. DMA Industries has announced the appointment of Trevor Potter as its new Director of Marketing and Products.

DMA said Potter's career spans three decades in the automotive aftermarket.

Most recently, he was vice president of product management and marketing for SSF Imported Auto Parts, a national distributor of imported auto parts based in San Francisco, CA.

Potter has also held vice president positions in business development, sales and marketing of the automotive aftermarket, as well as global automotive sales within several of the industry's top 100 companies.

"Trevor's addition marks an exciting chapter for DMA," said John Treece, CEO of DMA.

"His extensive experience, coupled with his forwardthinking approach, aligns perfectly with our vision for continued growth and innovation."

"We are confident that Trevor will play a pivotal role in shaping our products and marketing strategies for years to come."

While DMA continues to focus on driving future successes, Potter's appointment underscores its commitment to staying ahead of the automotive aftermarket landscape, the company said.

"I'm really excited to accept DMA's ambitious goals and future plans for both the immediate year and the long term," Potter said.

Valvoline Announces CEO Succession Plan

United States. Valvoline announced that Sam Mitchell will retire as CEO and board member effective Sept. 30. Mitchell will be replaced by Lori Flees, current president of retail services, as the company's chief executive.

Flees will also join the company's board.

"On behalf of the board, I want to thank Sam for his leadership at Valvoline over the past 21 years," said Rich Freeland, Valvoline chairman of the board.

"During this time, Sam has led the company through a period of exceptional growth and performance, which included a very successful IPO in 2016 and, most recently, the restructuring and separation of Valvoline's Retail Services and Global Products businesses."

"Today, Valvoline is a leader in preventative auto maintenance, and it is from this position of strength that the board of directors accepted Sam's retirement decision."

Mitchell added, "Leading this company has been the highlight of my career. I will always be grateful for the experience of working with

the talented and dedicated people at Valvoline, and wish them every success in the future. I have had the privilege of working side by side with Lori for the past year."

"Throughout her career and in our time working together, she has proven to be a strategic thinker with a natural ability to unite teams and drive results."

"The board and I have great confidence that she is the right leader for Valvoline as the company focuses on its future as a high-growth, high-margin, pure play retail services business."

[TRADE SHOWS ]

Latin Tyre & Auto Parts Expo brought together the auto parts and tire industry

Panama. Aftermarket International was present at the return of the Latin Tyre & Auto Parts Expo, which once again brought together the tire and auto parts sector in Latin America at the Panama Convention Center on June 14 and 16.

In the 59,000 square meters of the enclosure gathered more than 500 international exhibitors; from tire manufacturers, tire service and repair companies, retreading, wheels, auto parts manufacturers, selfservice, tools and equipment, etc.

Outside of the exhibitors, a series of presentations led by industry experts were held on topics ranging from the original aftermarket to global retreaded tire trends, technology and electric vehicles.

This year's keynote speaker was Eduardo Minardi, founder of Minardi Global, co-founder of Mobility and Tire Webinars. Joining him were David Shaw, CEO of Tire Industry Research; Radu Iliescu, sales manager, Denso Corporation;

Guilherme Soares, Aftermarket Manager of BorgWarner Brazil; William Veder-Ardila, Chief Commercial Officer of Hankook Tire & Technology, and David Stevens, Chief Commercial Officer of Tire Retread & Information Bureau.

In an interview with Aftermarket International, during the fair, Jaime Cabrera, CEO of Woodyard Wholesale Parts, expressed his gratitude for the welcome of the people of Panama.

"It has been something very pleasant and I do not regret having come to Panama," he said.

"Thank you so much! We had an amazing show. We will be back next year..." stated Russ Robertson, Vice President of True Parts Inc.

Plans for the next issue of Latin Tire & Auto Parts Expo are already underway from July 31 to August 2, 2024, promising an even more remarkable experience for attendees.

Expopartes held in Colombia June 21-23

Colombia. The 27th version of Expopartes, one of the largest auto parts fairs in Latin America, organized by the Association of the Automotive Sector and its Parts (Asopartes), brought together more than 500 exhibitors from more than 20 countries of this industry in Bogotá.

Between June 21 and 23, more than 10,000 square meters and five pavilions of the Corferias fairgrounds served as a meeting place for manufacturers, marketers, representatives of foreign brands, among other actors in the automotive sector and its parts.

Among the countries present were Germany, Brazil, Argentina, Spain, United States, France, India, England, Japan, Italy, Turkey and Mexico. From the latter arrived Erick Sánchez, Business Development Manager of ebay Latin America, and Raúl Bustamante, Head of Marketing of the same company for this region.

In the words of Raúl Bustamente, who had already visited Colombia, but had not attended this fair, "it is a very good space to do not only business, but also networking."

For him and Erick it was a valuable opportunity to invite different Latin American companies to export their products through the ebay platform, with a presence in 190 countries, around which there are 133 million buyers.

As stated by the president of Asopartes, Carlos Andrés Pineda, "this fair is a unique opportunity to double the business of the

automotive sector, which will boost the country's economy."

In an interview with Aftermarket International (which had its own during the event), the president highlighted the large influx of professional buyers and different visitors associated with the sector, including speakers and exhibitors, "from whom we have received more than positive feedback, very optimistic about the possibility of business".

The president also pointed out as a novelty of this edition the Center of Experiences and Technologies aimed at workshop managers, mechanics, after-sales managers, diagnostic centers, automotive service workshops, importers, distributors and sales representatives of the brands, among others.

Likewise, he highlighted the academic program, which included the forum entitled "Future of mobility with clean energies".

In addition, he highlighted the exclusive pavilion where 120 Chinese companies exhibited their products and technologies. "After these years of pandemic and restrictions, today they are completely reactivated, traveling, conquering the world, and they could not miss our fair," he remarked.

Finally, he invited the Auto Parts Fair, also organized by the Association, which will take place from June 5 to 7, 2024 in Medellín, and that together with Expopartes constitute "fairs with an international scope that are at the height of the best in the world".

Global automotive industry prepares for Automechanika Shanghai 2023

International. Expectations for this year's edition of Automechanika Shanghai are naturally high, as the global automotive industry looks to China for new energy vehicle solutions and next-generation technologies.

Continuing as one of the most influential portals for information exchange, marketing, trade and education, the show will rely on Innovation4Mobility to reinforce rapidly evolving areas of the supply chain.

The year-end meeting from November 29 to December 2, 2023 expects to host 4,800 exhibitors on 280,000 square meters of the National Exhibition and Convention Center (Shanghai).

As a whole, the automotive ecosystem is undergoing a massive transformation, with the influence of sustainability and environmental protection increasing the demand for new energy vehicles and innovative mobility solutions alike.

With this, the international automotive community is expressing great interest in knowing more about China's advances, especially as the country is a forerunner in one of the most complex shifts towards electrification, digitalization and connectivity.

To answer the industry's call for sharing and collaboration, the 18th edition of Automechanika Shanghai will present a much-needed meeting point for players around the world to navigate these changes. It will be the first time many global buyers and suppliers will be able to meet face-toface in Shanghai since 2019.

It is therefore no surprise that the organizers have already seen an influx of exhibition inquiries from participants looking to evaluate performance in 2023 and communicate upcoming plans for business development in the coming year.

So far, companies from 32 countries and regions such as Australia, Brazil, Belgium, Canada, China, France, Germany, Hong Kong, Italy, Japan, Malaysia, South Africa, South Korea, Taiwan, Turkey, UK and USA have booked their space on the show floor.

These leading brands include Autobacs, Bilstein, Borgwarner, Bosch, Brembo, Corghi, Doublestar, EAE, FAWER, Haige, Jekun Auto, Launch, Leoch, Liqui Moly, Mahle, Maxima, Axima, Quanxin, Sata, Sogreat, Sparktronic, Tech, TMD Friction, Tuopu, VIE, Wanxiang, Yakima, ZF, ZTE and Zynp Group.

Innovation4Mobility exhibition areas

Following a positive introduction to the Chinese market, Innovation4Mobility will continue to transcend through the fairgrounds, providing a new perspective on the key trends dominating automotive reform.

The Showcase is set to converge the latest innovations and research to

provide a window into segments with long-term perspectives. The displays will not only highlight technological advances, but also upgrades to traditional solutions.

For example, scenario-based displays in the newly formed Future Mobility Area will give importance to the growing business opportunities being developed from new energy vehicles and connectivity.

The other debuting Customizing x Tech Area is preparing to draw attention to the latest trends and developments in the personalization market. It will feature a collection of custom cars, car wrap, accessories, infotainment, lighting and products for driving activities such as car camping.

Innovation4Mobility's main stage and green repair area will also return to complete the Showcase.

Integrated facilities for product displays, start-ups and networking in the spaces aim to help foster meaningful business exchanges between exhibitors and potential buyers. In addition, the lectures will touch on the hottest topics in automotive technology and mobility solutions.