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AIMING FOR PERFECTION

PROMOTION ARTICLE ON BEHALF OF AISIN GROUP

Aisin braking portfolio

The Aisin group is a diversified global conglomerate with special expertise in materials processing, precision engineering and manufacturing technologies. While the principal activity is the design and manufacture of automotive parts and systems, the group also produces household appliances such as fuel cells and other products related to the energy, lifestyle and wellness sectors.

Guided by the founder’s commitment to “quality first”, Aisin has developed a strong position as a global supplier of premium automotive parts and systems to vehicle manufacturers. In addition to Toyota, which has taken a 24% equity in the company, Aisin is a major supplier to the Volkswagen Group, BMW, Volvo, General Motors, PSA Group, Renault-Nissan, Mitsubishi, Honda, Suzuki and Changan Group.

Aisin Seiki group
Japan-based Aisin has been processing materials and manufacturing premium precision products for more than 70 years. Founded as an aircraft parts manufacturer, the company has now developed into a Fortune Global 500 company with more than 190 subsidiaries and affiliates around the world. The Aisin group is a strong top-10 supplier in the automotive OE and aftermarket industries, and recorded net sales of over 29 billion Euro in the 2016 financial year.

Drive, turn, stop…

The Aisin automotive product range is comprehensive, covering all the principal vehicle functions – driving, turning and braking – and includes drivetrain, clutch, brake, chassis, engine and cooling systems, in addition to vehicle body parts.

The group strives to anticipate customer needs and has invested heavily in the last few years to meet the changing requirements of the automobile industry. Using its expertise in diverse metals and processing technologies, Aisin is now producing lighter vehicle parts – including cast parts for the engine and related areas – helping car manufacturers meet lower fuel consumption and emission standards.

Strong R&D resources

For these new trends, Aisin is able to draw on its impressive worldwide research and development assets. Back in 1970 it was one of the first auto parts manufacturers to construct its own vehicle proving ground equipped with test tracks. Aisin now has three proving grounds worldwide with a variety of track surfaces.

In parallel, state-of-the-art indoor testing facilities enable Aisin to evaluate a wide range of vehicle performance areas including electronic devices, fuel economy exhaust emissions, high-temperature environments and vehicle stability control systems.

Going forward, Aisin aims to continue working with its subsidiaries and customers to anticipate future requirements and fulfil its mission to contribute to the creation of a better auto society and higher standard of living.

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MAINTAINING EMISSION STANDARDS

Launch DPF Gun

With CO2 emissions on the rise, how are suppliers preparing workshops accordingly?

unless you have your head in the sand, you’ll notice that the tide has turned for emissions and for light diesels in particular. Last month, almost anything registered before 2005 was effectively banned from central London, thanks to the so-called Toxicity Charge. What’s more, these standards are only likely to get tougher, with a diesel emissions check at MOT among many options being mooted by those in power. This isn’t necessarily a bad thing: Everyone wants fresh air and there are a number of products to help clean up diesel engines.

One technology that has kept VMs in line with their objective is Exhaust Gas Temperature Sensors (EGTS), designed to protect components exposed to hot exhaust gases from overheating. Julian Goulding, UK Marketing Manager at Delphi elaborates, “Exhaust gas temperature sensors play a crucial part in modern vehicles. From Euro 5b, all diesel vehicles had to have EGTS, with each car having up to six sensors, they’ll become an increasingly important service item.” He adds that these parts can and do fail, which is hardly surprising given the hellish temperatures that they endure. However, an EGTS problem is often misdiagnosed.

TRAINING AND WEB PLATFORMS
To counter this, Goulding suggests workshops can enrol onto a number of training courses in order to repair these systems confidently. Based at its Warwick Centre, the parts maker hosts various programmes, with training that can also be accessed via its’ digital channels; which provides information on fitting sensors and diagnosing faults successfully. Helen Goldingay, UK Marketing and Communications Manager at Hella, concurs, stating that although most garages are up-to-speed with EGTS, attention on newer technology must be brought to the forefront. She expands, “Due to the growth in use of the micro hybrid (start-stop) systems, intelligent battery sensors, which play a crucial in the battery management function that are part and parcel of the system, are clearly a growth area, as are those directly connected with emission controls, like exhaust gas pressure and air quality sensors.

‘Technicians are aware of the growth in the number of sensors that modern vehicles require, but what is more important than actually knowing every sensor itself, is the ability to identify where a fault lies and have the equipment to reinstate the management system once the component has been changed.” To facilitate this, various web platforms have been launched by the company in recent years. This includes Tech World for technicians as well as Partner World for factors and others in the supply chain.

CLEANING AND TESTING

It’s all well and good being able to diagnose faults with these parts, however, carbon build-up on EGR valves, DPF’s and injectors can restrict sensors from detecting problems within the fuel and exhaust system. Carbon build- up or post combustion carbon as it’s otherwise known, is a result of vehicles running in conditions where they can’t reach their full temperature; resulting in heavy quantities of carbon being burnt.

Fortunately, the aftermarket isn’t starved of chemical products to help with this. Various potions that are poured in the fuel or in the crankcase, as well as several machines have come onto the market in recent years. One of the most recent entrants in this sector comes from diagnostic equipment supplier Launch UK. The company has recently launched a device called a DPF Gun as well as various pour-in chemical cleaning products. Richard Collyer, Product and Equipment Specialist at the firm, expands, “Once vehicles are full of carbon, the EGR valve can’t operate properly and can blow electronically. Once this occurs, it will need changing.”

Euro5 BM

FACING FEARS
Akin to this, Mark Blinston Commercial Director at UK manufacturer BM Catalysts, encourages independents to get involved in servicing DPFs themselves, instead of dismantling and sending them off to dealers, which he says can be a ‘costly move’ for the garage. However, there is still a ‘fear’ around this technology that he brings to light, “The general perception is that garages are worried that if they get it wrong, it will be expensive”, he continued, “There’s been a lot of noise about this in the news where the BBC recently done a report revealing a shocking number of vehicles being driven on roads that are not fitted with them. This is one reason why some garages aren’t getting involved.”

To face this fear head on, Blinston explains that the firm has produced some point- of-sale material, training sessions and technical information for technicians. This also goes along with a number of new offerings for its’ core lines of catalytic converters, pressure pipes and DPFs. He concluded, “We have invested in many resources and developments over the last year by adding 245 new part numbers in 2017 covering 30 million vehicles across Europe.”

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BREAKING: ECP PARENT TO ACQUIRE STAHLGRUBER

Euro Car Parts’ parent company LKQ Corporation has entered an agreement to acquire Stahlgruber GmbH in a deal valued at roughly €1.5bn.

Stahlgruber is one of Germany’s largest factor chains and, as was discussed at last week’s IAAF conference, it was known to be for sale.

A report in the October issue of CAT highlighted how Stahlgruber recently invested in a vast automatic warehouse using robotics from TGW Logistics. The firm has over 500,000 SKUs and 100,000 clients on its books.

LKQ plans to complete the deal in March or April of next year, subject to usual regulatory approvals.

John S. Quinn CEO of LKQ said: “The LKQ Europe management team and I look forward to working with Stahlgruber’s management team and leveraging our combined best practices to maximize the benefits of scale across the continent.”

Heinz Reiner Reiff, CEO of Stahlgruber Otto Gruber AG, added: “I am very excited about the meaningful benefits that will occur by combining our complementary cultures and industry leading management, which together position Stahlgruber to achieve the continued growth of its European businesses. Our acceptance of LKQ shares as part of the consideration emphasizes our belief in the value of this combination.”

More on this deal as we get it.

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DELPHI AUTOMOTIVE TO BECOME APTIV PLC

Following the recent split of Delphi into powertrain and automotive divisions, both departments have taken new names.

The powertrain segment will become Delphi Technologies, while the department formerly known as Delphi Automotive will be called Aptiv PLC.

As aftermarket products are made by Delphi Technologies, the brand will remain on products in factors.

“Despite recent debates around the future of the internal combustion engine, market experts predict that around 95 percent of vehicles on the road will still have an engine in 2025, albeit with increasing degrees of electrification,” said Liam Butterworth, newly appointed CEO, Delphi Technologies.. “This means we have the opportunity to make significant step changes in vehicle performance on the way to a fully electric market. ”

Apiv President and CEO Kevin Clark said: “Aptiv is built on a strong foundation of industry firsts, and has the knowledge, capability, and agility to win with traditional OEM customers and emerging mobility players. It is a remarkable time to be in our industry, and we are very confident about our future.”

Both Aptiv and Delphi Technologies will officially set out their stands as separate entities at CES, held in Las Vegas in January.

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PHOENIX COMPANIES RISING FROM THE ASHES

It’s a sad fact of life that businesses can and do fail and the fallout can impact upon many – owners, shareholders, employees, customers and suppliers alike. Often there is nothing underhand about the failure – the company is wounded fatally by a lost contract, a massive hike in rent or rates, or has been unable to adapt to changing market conditions.

Occasionally, however, firms are set up to fail through the deliberate actions of their management with a view to defrauding creditors. In certain situations, directors of the failed company turn to what is known as a ‘phoenix’ company.

PHOENIX RISING
‘Phoenixing’, or ‘phoenixism’, are terms that describe the practice of carrying on the same business or trading successively through a series of companies which in turn becomes insolvent – the idea being that a new business rises from the ashes of an old one, like the Phoenix bird of Greek myth, hence the term. Each time this happens, the business of the insolvent company (but not its’ debts), is transferred to a new, but similar, phoenix company, usually through the use of a pre-pack administration. A pre-pack administration involves the business of the liquidated company being sold as a ‘going concern’, (i.e. as an operating business) through a process orchestrated by an appointed insolvency practitioner. The insolvent company then ceases to trade and might enter into formal insolvency proceedings or be dissolved.

Phoenixing often harbours negative connotations, mainly because of the actions of directors who force their companies into insolvency to then purchase back company assets through the new company, leaving behind any liabilities in the insolvent company. The process often involves financial loss being suffered by the creditors of the failed company – a practice that can both leave a nasty taste in the mouth and give phoenix companies a rather bad reputation.

There is no doubt that in rare circumstances, the directors of a company do set out to commit insolvency fraud and so will deliberately reform a business using a phoenix company to avoid paying creditors. They will ensure that the phoenix company is set up so that it appears slightly different from the insolvent company. The business will continue to trade and operate and the creditors of the insolvent company will not usually recover their debts as they remain with the insolvent company – a separate legal entity – and will not be transferred over to the newly formed company. The bad news for creditors and suppliers is that they will have no contractual claim against the new company for debts incurred by the old, defunct, company.

THE LAW SAYS
The governing law of England and Wales allows shareholders, directors and employees of insolvent companies to set up new companies to carry on a similar business, so long as the individuals involved aren’t personally bankrupt or disqualified from acting in the management of a limited company, and the trading name of the new company is not the same or similar to that of the insolvent company. Setting up as a new entity is legal if the process has been managed properly. Entrenched company law principles mean that a limited liability company is a legal entity separate from that of its shareholders and directors. Except in very limited circumstances, the responsibility for debts incurred remain that of the company, subject to the actions of the company directors.

One circumstance where a director can be made personally liable, jointly and severally with the company, for all the relevant debts of the new company, is where they contravene the Insolvency Act 1986 by acting as a director of a company with a prohibited name (i.e. a name which is similar to suggest an association with the previous company’s name). Further, the director will also be liable to a fine or potential imprisonment.

SEEKING SOLACE
So, what can you do if you suspect some sort of insolvency fraud being undertaken by a company that you are dealing with? What happens where you find yourself in the situation where you have supplied a company and your invoice has not been paid? What should you if do you’re also unable to reach anyone at the company to speak to about the money that you are owed?

The company at this point may or may not be insolvent. If the company in question is insolvent, the appointed insolvency practitioner’s function is to investigate the practices of the company and distribute any assets found to the creditors of the business. Predominantly, the underlying assets of the insolvent company are required to be sold at market value and not (deliberately) at an undervalue. You, as a creditor of this business, should have an interest in such investigations and you should speak to and assist the insolvency practitioner where possible.

Company directors owe numerous duties to their company and the key duties are codified in the Companies Act 2006. These include promoting the success of the company, exercising independent judgement, exercising reasonable care, skill and judgement, and avoiding conflicts of interests. Where a company is threatened with or starts to undergo insolvency proceedings, directors not only owe duties to the company, but also to the creditors of the company and a number of provisions of the Insolvency Act 1986 apply in this case.

STRICT RULES
There are strict regulations placed on the directors of an insolvent company and any appointed insolvency practitioner regarding the use of a phoenix company to carry on the business of an insolvent company. The intention of the regulations is to protect the interests of unsecured creditors and to prevent company directors from escaping their obligations. It is a criminal offence under the Insolvency Act to knowingly carry on business with an intention to defraud creditors.

If this is proven, an insolvency practitioner may make the decision that the director is liable to make a contribution to the company’s assets on winding up. Remember, it is legal for a phoenix company to be formed from the insolvency of a prior company. However, any director that is subject to a disqualification order or a bankruptcy order cannot act as a director of the newly formed company. You may suspect that a director of a company that you are dealing with may be acting in breach of a disqualification or bankruptcy order and if this is the case, you should also report this to the Insolvency Service.

DEAL WITH IT
Information is available online, free, at Companies House to any member of the public who wishes to see who is registered as a director of a company that they are dealing with. The name of the company (this may be different from the name with what the company trades as) or the company number will be required to use the Companies House search function.

Despite the losses that can be experienced by a creditor because of the use of a phoenix company that may have been subject to insolvency fraud, the financial failure of a majority of UK companies is not usually as a result of wrong doing nor the misconduct of company directors. Companies can be dissolved or face financial difficulties for a variety of reasons.

One protective solution, obvious as it sounds, is to conduct preliminary investigations on new customers before entering into a trade agreements or offering trade credit. As noted above, check the publicly available register at Companies House for information on company directors and their companies, seek trade references, and also carry out credit checks. Forewarned is forearmed.

It may be worth checking to see whether your supplier contracts have, or possibly should have, clauses which aim to protect your legal ownership of the supplied goods until payment has been made by a customer. Some supplier contracts may include what are known as retention of title clauses which will state that the goods delivered by a supplier remain their property until payment by the customer has been made. Legal advice should be sought as ‘retention of title’ clauses require careful thought and drafting to ensure that they are effective, an event of insolvency should be properly provided for in such terms and conditions in order for a supplier to limit exposure to the risk of non-payment.

WHAT TO BE AWARE OF
Directors who don’t conduct business in line with their legal obligations face potential disqualification from acting as a company director. The Company Directors Disqualification Act 1986 prohibits directors whose conduct led to the insolvency of a company from taking on similar roles elsewhere for a prescribed length of time. If, as a creditor, you feel or suspect that a director of the company you are dealing with is conducting their business in an unfit manner, you can report them either to the Insolvency Service, Companies House or the Serious Fraud Office.

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MAINTAINING A PROFESSIONAL STANDARD

Garage owner Graham Gent invites CAT up to MOT-A-CAR in Sittingbourne, Kent

As the festive season approaches, most workshops will be embracing the spirit of Christmas by means of winter health checks as well as changing batteries, bulbs and wiper blades – all of which are things that boom in the colder months.

Although this is a buoyant time for garages, one business in particular has been busier than normal. Sittingbourne-based MOT-A-CAR was our
destination today, where the team have been working tirelessly to get their new Van Shop up and running.

VAN SHOP
Launched a month earlier, the new unit has allready attracted leasing companies, that have started booking in their van fleets. for servicing. Garage Owner Graham Gent explained: “We have always serviced vans, but we felt a need to separate the units we currently have.”

“We do everything in here from motorcycle testing to mini buses classes one, two, three, four, five and seven”. He adds that wife and business partner Claire, deals with the marketing aspect of the firm, using her expertise to spread awareness of its latest addition through the company’s website and social media platforms.

UNITS AND SERVICES
As Gent already touched on, the business contains several units that all serve a different purpose. Apart from the newcomer, a Tyre Shop with a class four MOT bay occupies the site, alongside the main workshop space – used for servicing a mishmash of vehicles from farmers Land Rovers to high-end, executive cars. The workshop also contains a reception area featuring oils and additives from the likes of Forte and Mobil, that were stacked along counter display stands on our arrival.

Besides general MOT repairs, there are plenty of services in the company’s itinerary, as Gent brings to our attention, “We’ve got a total of four vehicles that go out for car collections and deliveries”. When asked what areas are covered, he said: “We travel anywhere in Swale from the Medway towns to Maidstone and Canterbury. We have been further afield, but the difficulty is time out of the workshop, so we have to monitor this accordingly,” adding that a vehicle recovery process is also provided by the firm, which would explain the large pick-up truck parked outside the premises.

BUSINESS GROWTH
The company’s expansion over the years comes down to several factors. However, Gent says the main one is the team’s work ethic, something that has been difficult to identify when recruiting potential candidates prior. “The biggest challenge has been employing staff”, Gent recalls, “Many people coming into the trade aren’t as driven as they should be. They don’t see it as a profession but rather as a job, and unfortunately, there’s too many kids coming out of college that don’t seem motivated.”

The owner plans workshop expansion

Teething troubles aside, the business employs seven technicians bringing experience from fast-fits, independent garages and dealerships up and down the country. Gent himself is a Master Technician who began his training as a young man at a nearby Ford Dealer. He later moved on to manage a workshop at a local Renault dealership, before opening the business with wife Claire 15 years ago.

Gent mentions that the team have ‘tapped into the data and report side of its Garage Data System (GDS)’, thus enabling them to exploit further sales and margin opportunities. This internal programme has proved a necessary asset with the garage reporting an annual turnover of £500,000 last year.

CONNECTED FUTURE
While talks in the aftermarket revolve back to connected cars, Gent is aware of this technology and how it may impact business in the foreseeable future. With that said, he is in the midst of putting infrastructure in place to safeguard the company. This will involve investing in another unit on-site for repairing electric and hybrid vehicles, as well as acquiring some charge points and an electric vehicle bay.

Of course, training on these systems is fundamental, but Gent seems to have this under control as he prepares to enrol staff onto relevant courses next year. He concluded: “We have to balance courses with our technicians’ levels and experience. It’s about finding the right place and training provider. We also want to buy a few more workshops to expand our brand, but again, it’s all about finding the correct location.” We look forward to visiting Gent’s new sites in the near future.

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REBOXING & PRODUCT LIABILITY RISK

Could the last big taboo in the aftermarket land suppliers or retailers in legal trouble?

The act of putting one product in the carton of another is something that we all know happens throughout the aftermarket at all levels. There’s one product in particular that we know is packed in the UK in a dozen or more brand images – and no doubt there are others.

However, times are changing ever higher up the list of boardroom priorities for businesses across multiple sectors. Increased media attention on product safety incidents brings the potential for a badly managed crisis to kill off a brand entirely. Growing consumer awareness is translating into more civil claims and ever closer scrutiny by regulatory authorities in the wake of scandals such as ‘dieselgate’ and Grenfell Tower is partnered by dizzying fines where serious failings are identified.

In the light of all this it is critically important that all businesses involved in product supply chains understand their responsibilities and manage risk, regardless of where they stand in the product journey from factory to end user.

It’s interesting that retailers and others in the supply chain who do not actually make a product often regard themselves as immune from these issues and assume that their suppliers will be the target of claims or regulatory scrutiny if things go wrong. Unfortunately this is not often a safe assumption: many regulatory regimes place responsibilities not only on the manufacturer, but also on others in the supply chain, particularly (but not exclusively) those who place their brand on the product.

UNFIT FOR PURPOSE
The act of placing an unsafe consumer product on the market is an offence, regardless of whether or not a producer knew about a potential safety defect, and there is a requirement to notify the regulatory authorities promptly where a producer becomes aware that a product he has placed on the market – or supplied poses – risks to a consumer that are incompatible with the general safety requirement under the GPSR.

Many other regulations also extend obligations to businesses placing their own brand on products – including, amongst others, the Construction Products Regulations 2013, and the Electrical Equipment (Safety) Regulations 2016 – the latter imposing on manufacturers requirements regarding regulatory conformance and an obligation to take action in cases of non-conformity and notify authorities where there is a risk, with the definition of ‘manufacturer’ . [See panel for more detail].

Any business supplying articles for use at work will also be caught by the requirement under Section 6 of the Health and Safety at Work Act 1974 (‘HSWA’) to ensure that the article is designed and constructed that it will be safe and without risks to health at all times when being used by a person at work. Fines for breaches of the HSWA have recently been scaled up dramatically.

CIVIL LIABILITY
In addition to the regulatory regime, those placing their brand on products are potential targets of civil claims for damages under the Consumer Protection Act 1987 which implements the Product Liability Directive in the event of an injury or damage to personal property caused by a defect. For these purposes, a defective product is one which fails to meet the standards of safety which users are generally entitled to expect. Crucially, a failure to warn of non-obvious risks or the provision of inadequate instructions can render a product just as defective in the eyes of the law as a situation where a safety risk is presented by a design or manufacturing defect.

Liability for claims of this type is strict, meaning that no fault on the part of the own-brander is required for liability to arise. In practice, a potential claimant looking to recover damages following an injury is much more likely to target the business which placed its brand on the product than trouble itself with identifying the underlying manufacturer or component supplier. It is left to the business whose brand is applied to recover damages paid out through strict liability claims through its contracts with suppliers (assuming they don’t exclude the right to do so).

Potentially, resellers and distributors who deal directly with consumers could face further claims under the Consumer Rights Act 2015 (CRA). The CRA has the effect of implying terms into an agreement in favour of a consumer, meaning, for example, that goods sold must be fit for purpose and of satisfactory quality. These terms cannot be excluded. Under the CRA, a consumer can enforce these terms and subsequently is provided a series of remedies, including the right to reject, or the right to have goods repaired or replaced.

Resellers and distributors could also be hit with claims in negligence when failing to exercise reasonable care and skill in the course of their business. Claims in contract may also follow, although these will turn on the specific contractual terms in place in each circumstance.

MANAGING RISK
It’s clear that there are numerous routes by which businesses branding products as their own may expose themselves to regulatory investigation and prosecution of civil claims.

It is essential that any business in this position addresses its mind to the management of these risks. There are a number of practical steps that businesses can take.

Firstly, steps should be taken to ensure that allocation of risk is given proper consideration when entering into agreements with manufacturers. This may allow the business to pursue the manufacturer through a contractual claim. Particular attention should be paid to warranties and indemnities, and to the responsibility for different aspects of the product specification.

Next, audit rights should be included in supply agreements so that the retailer (own brander) has a means of verifying the quality and robustness of manufacturing and design processes, for example by inspecting manufacturing processes or by paper-based audit.

Traceability is crucial, in terms of managing product safety crises. By pinning down manufacturing dates/times/batch numbers, the scale of any recall is reduced and affected products can be recovered quickly.

Lastly, the potential for a product safety issue to cascade into a major reputational crisis is real in the age of globalised social media, and the speed with which events can move means that advance planning for such situations is crucial. Any business selling products under its own brand should prioritise the creation of a crisis management plan. This should address, amongst other matters, how communications with customers and regulators will be handled, management of press communications, risk assessment and decision making processes and logistical aspects of recovering and replacing affected product in the market.

There are a number of key issues that need management and it should be emphasised that the law in this area is highly specific to individual product types and sectors. Retailers and others considering own- branding are well advised to obtain guidance from specialists to understand the risks and ensure that they take appropriate steps to manage them.

Those importing products into the EU should be particularly alert to the fact that, even if their branding is not applied, they may be treated as a producer and assume responsibilities and liabilities as a first importer.

The commercial benefits of own-branding are often compelling, but businesses entering this area should do so with their eyes open, understanding that by placing their name on a product they may be substantially increasing the legal and reputational risks which they bear.

YOUR NAME, YOUR RISK
Let’s take an example. Most products intended for or likely to be used by consumers (i.e. including those which might be targeted primarily at professionals but which consumers may buy too) fall within the scope of the General Product Safety Regulations 2005 (GPSR) which implements the EU General Product Safety Directive. These regulations place a strict and onerous obligation on ‘producers’ to ensure that the product is ‘safe’ – meaning that under normal or reasonably foreseeable conditions of use it presents either no risk or only the minimum risk compatible with the product’s use.

Critically, For the purposes of the GPSR, a producer is any person who manufactures a product, or a person who presents himself as the manufacturer “by affixing to the product his name, trademark or other distinctive mark”. This distinction means the obligations placed on producers are also applicable to retailers, merchants and distributors in circumstances where they place their own brand on the product.

From the perspective of consumers and regulators, of course, this makes perfect sense: if a business sells a product as its own, it should be seen to be taking responsibility for the safety of that product. However the rule continues to catch out businesses who are attracted to the idea of a product being associated with their brand, but do not appreciate the responsibilities which come with such a move. The effect of this is that retailers and merchants applying their own brand to products need to ensure that they can be satisfied with the safety of those products. This means not only that they are designed and manufactured in accordance with technical requirements and industry standards, but also, for example, that adequate warnings and instructions for use are provided.

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MARATHON ACQUIRES NEW WAREHOUSES

Independent wholesaler Marathon Distribution has acquired two warehouses bringing its’ branch network to 14 sites. The move comes as part of a business strategy to improve its’ Northern logistic operations.

The Warrington distribution centre has recently opened its’ doors to trade customers.

Meanwhile, construction work on the new Gateshead site is still underway and should be functional by February next year.

The opening of these centres has also sparked a recruitment drive, creating a number of job opportunities and an internal shake-up, as Adrian McComas, Sales and Marketing Manager at Marathon Distribution, elaborates: “Several colleagues from our Castleford and Redditch depots will be transferring over to the new Warrington site.” He continued, “Regional Director Lee Pearsall has been appointed to manage operations for this part of the country.”

More branches are in the pipeline. McComas concluded: “We will also be looking to expand into Scotland in 2018 to enable us to service our Scottish customers more efficiently. We’ve already got substantial business in the North East and West of England, so it will make it easier to service those areas and gives us an opportunity to develop the business more, with more frequent opportunities for our stockists.” We look forward to reporting on these new sites when they go live next year.

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SMMT PRESIDENT: ‘CONCRETE PROGRESS’ NEEDED ON BREXIT

The 101st SMMT dinner was interrupted before it had even started by Greenpeace protesters who managed to get on stage with a ‘Toxic Air award’ for VW. It was clear from the outset that this was going to be a politically charged event.

Mike Hawes, Tony Walker and Jennifer Saunders at SMMT Dinner 2017

Greenpeace invaded SMMT Dinner to present VW with ‘Toxic Air Award’.

Tony Walker delivered speech about the need for ‘concrete progress’ on Brexit

 

Following an introduction by Jennifer Saunders, SMMT Chief Exec, Mike Hawes took to the stage to talk about what he saw as the dangers of ‘demonising’ diesel. “Customers are not moving straight from diesel to electric. They are switching to petrol or are staying put in their older cars” he said, adding that the decision in the budget to increase tax on diesel cars leads to a falling market and a, conversely, rise in CO2 emissions. “This is not a policy without consequences. It has to stop” he said.

Business Minister, Greg Clark made a speech in which he acknowledged that the car industry was of ‘fundamental importance to the British economy’. He added that there was an industrial strategy in place, which ‘in many ways’ had been inspired by the motor industry.  

However, SMMT President Tony Walker warned of the dangers of a no-deal situation and a 10 percent tariff on exports. “Competitiveness comes hard-won. It can be easily lost” he said. “A hard Brexit would undermine all that we have collectively achieved. It is a real threat – a hurdle we cannot ignore.” He acknowledged that it was Government policy ’not to fall over a cliff edge’ but there needed to be evidence of ‘concrete progress – and quickly’.

Walker expanded that falling consumer confidence, uncertainty about Brexit and market confusion over diesel have taken their toll on sales domestically, and that the threat of trade barriers was putting the ‘export-led renaissance’  of the UK’s manufacturing base. “Our supply chains are integrated with Europe and well developed over time” he said. “We cannot disrupt them…We do not need trade barriers to be our next challenge”.

 

 

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HELLA MAKES GROUND-BREAKING DEVELOPMENT

PROMOTION ARTICLE ON BEHALF OF HELLA

As a respected original equipment (OE) manufacturer and systems supplier, HELLA is already at the forefront of automotive technology with its involvement in areas such as ADAS (advance driver assistance systems) and LED lighting solutions. However, unwilling to sit on its laurels, the company is now looking further into the future to redefine the limits of present and future camera evolution.

So, as well as current ADAS innovations like lane departure warning systems, which are based on radar sensors that constantly monitor the area behind the car when passing other vehicles or changing lanes, HELLA is developing products that continue to enhance its reputation as a leader in the market.

Working alongside independent associated business Brighter AI, HELLA has been increasing the quality of existing camera systems by pushing the boundaries of technology with a cloud-based application that has allowed the development of new safety and comfort-related functions.

The solution has already been implemented in the security sector, but can be adapted for automotive applications and uses infrared night photography to create realistic daylight images.

In layman terms, the team is developing the technology that will enable the driver to look into the rearview mirror at night and the view reflected will appear to them as if they were driving in daylight, thus solving a basic problem of driving in the dark – limited sight and slower reaction times.

Greater illumination of the area around them will significantly increase driver safety as they will be able to see more of the road behind, leading to less accidents and potential fatalities.

Currently in its pilot stages, HELLA is confident that the realistic colour image technology will pave the way for further uses in the industry such as optimising camera-based driver assistance systems, as well as applications in aviation and aerospace.

For more information about the OE quality products available from HELLA or for Behr Hella Service, please call customer services on: 01295 662400 or email hella.sales@hella.com

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