Automotive fastener demand recovers as vehicle production restarts and consumer demand improves.
Automotive fastener demand showed continued recovery in October 2020 as vehicle production ramped up and consumer demand improved. After the sharp contractions of the spring, automotive production and sales recovered faster than initially expected, supporting fastener demand.
Production Recovery
Automotive manufacturers increased production rates as consumer demand proved stronger than anticipated. The restart process that began in May continued through the fall, with plants gradually approaching pre-pandemic output levels. Inventory rebuilding after lockdown-related depletion supported production.
The recovery varied by region, with Chinese automotive production recovering first and strongest. North American and European production also improved, though remained below 2019 levels. The production recovery translated into renewed fastener demand after the sharp declines of the spring.