Lumag set out 2018 plans for growth and overcoming tribulation

Plans for diversification, effects of Brexit and exciting anniversaries have all been lined out in latest report

Lumag set out 2018 plans for growth and overcoming tribulation
Lumag’s production facility in Budzyń, Poland.

2018 is set to be a big year for new innovations, following on from the five million euro investment Lumag made into a Bruderer shim stamping machine, installed at its Budzyń manufacturing facility.

Lumag will be introducing “Green Coat”, a high friction coefficient coating production line on all CV pads, during the first quarter of 2018.

Green Coat’s introduction will be accompanied by the new “new-to-range” release for Lumag’s CV brake pads, which will see four more parts made available.

This new production line will apply a high friction coefficient layer to the outside of the brake pads, allowing a much quicker bedding in of the pad in relation to the disc.

Lumag will also introduce a ten million euro Feintool Technologie AG Fine Blanking Machine, during late 2018 which is expected to not only improve efficencies but will earmark of period of significant growth for the business, and enable it to manufacture its own back plates from rolled steel.

Industry challenges

“There is no question that 2017 has been a volatile year for the UK aftermarket,” commented a Lumag spokesperson.

“There does seem to be a nervousness in the market for a variety of reasons, and this is creating a feeling of uncertainty.

“The biggest contributors are the ongoing trials and tribulation sof the buying group activity, particularly the ongoing acquisition programme that is continuing to shape our industry; the continuing purchase and sale of the some of the larger motor factors, and of course Brexit and the revised UK growth forecasts.”

In the last quarter alone, steel prices have risen by 15 per cent as the increase in raw material costs continues.

“We’re currently abosrbing a smuch of these cost hikes as possible, but eventually the ongoing increase will start to affect the entire supply chain, placing pressure from the supplier to the end user,” explained the spokesperson.

“Key to survival”

The rise in popularity of electric vehicles can be directly correlated to a reduction in the need for friction material for braking purposes, says Lumag.

“In a world where electric, and even driverless cars, are a reality, road speeds will inevitably be lower.

“Couple this with the engine braking effects, which will reduce the need fort raditional mechanical braking methods, and the future looks bleak for traditional brake manufacturers.”

“We’re already looking at a diversification plan, as we recognise that diversification will be the key to survival,” the spokesperson confirmed.

Product availability

From its Doncaster headquarters, Lumag offers a 99.1 per cent pick rate, and can place daily orders on the manufacturing facilities in Poland if required, meaning replenishment stock can be delivered to the warehouse within just three days.

Lumag’s spokesperson commented: “Not only does this mean that seasonal product demand peaks can be met head on, but it also means there’s no reason for factors or garages to tie stock, and thereforecash, up in inventory.”

This year marks Lumag’s 30th anniversary, and they’re sure to celebrate in style.

“From exciting giveaways and promotions, to special events at our Polish headquarters, it’s going to be a big year for us.

“Watch this space fo find out more.”

For further information about Lumag, click “more details” below.

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