13/07/2023

13 July 2023
13 July 2023, Comments Comments Off on German caravanning industry optimistic, despite supply chain and logistics hurdles
German caravanning industry optimistic, despite supply chain and logistics hurdles

According to the latest press release from the Caravaning Industrie Verband (CIVD) in Germany, production and delivery of caravans and motor caravans are facing challenges due to disrupted supply chains, workforce shortages, and logistical bottlenecks. Despite these hurdles, the caravanning industry is looking forward to a hopeful future.

It says that the trend of caravanning remains robustly popular in Germany and across Europe as this mode of holidaying, with its numerous benefits, is appealing to seasoned campers and newcomers alike. A surge in demand is driving the new vehicle market. German manufacturers have manufactured over 375,000 new leisure vehicles from 2020 to 2022. Manufacturer order books continue to be filled, with high demand across all segments.

The industry might currently be underperforming compared to the remarkable records of previous years, but considering the difficult circumstances, the first six months have produced commendable results with a total of 54,299 new registrations (-1.6 percent) in the first half of the year – only just below the level of the previous year.

The CIVD says the caravan sector has to measure up to the good production and sales figures from 2022 and with 12,799 new registrations is 10 percent below the previous year’s level. At 41,500 units (+1.3 per cent), new registrations of motor caravans achieve the second-best result ever for the first six months of a year.

Stagnating supply chains and staff shortages continue to affect the production of manufacturers and suppliers, which is why new vehicles are being built under more difficult conditions.

In the motor caravan sector, the limited availability of vehicle chassis remains a key handicap in production. In principle, the availability of base vehicles has improved over the last few months – partly because motor caravan manufacturers are relying on a broader range of brands for vehicle chassis – but remains strained overall.

In addition to the well-known challenges in production, there are also bottlenecks in logistics: due to a lack of capacity at transport service providers, in some cases important vehicle components are delivered late. In addition, many completed vehicles cannot be delivered to dealers and customers as planned.

This presents a very challenging situation for manufacturers and suppliers, explains Daniel Onggowinarso, Managing Director of the Caravaning Industrie Verband (CIVD): “The last few years have presented the caravanning industry with extraordinary challenges. Factors such as inflation and high energy prices have further complicated the business environment. It will take some time before our industry can produce under relatively normal conditions again. Against this background, over 54,000 new registrations in the first half of the year are a more than remarkable result.”

Although the industry is currently below the extraordinary record figures of the first years of the pandemic, Daniel Onggowinarso sees no reason for pessimism: “The caravanning industry can consider itself lucky, because despite all the crises, interest in motor caravans and caravans remains high and the potential of our industry is far from exhausted. This is confirmed not only by market data and the well-attended caravanning trade fairs, but also by studies from market research.”