Supply Chain Issues Expected To Ease By End Of 2022: SEMA

The Specialty Equipment Market Association (SEMA) has released its ‘SEMA Future Trends – January 2022’ report, which the organisation says provides detailed analysis of the industry’s most important issues and trends in 2022 and beyond.

The report includes four primary sections: Specialty-Equipment Industry Outlook, Supply Chain Disruption, US Economic Outlook, and Changing Consumer Demographics.


According to SEMA, overall, 2021 was a strong year for the industry amid high demand, with many companies reporting record growth. The specialty-equipment market should continue to grow in 2022 at more muted levels before returning to normal (pre-pandemic) growth for 2023 and beyond. According to the report, 74 per cent of industry companies expect sales growth in 2022. Key impacts for the industry will be consumer demand, supply chain disruption, rising costs and automotive sales.


More than 80 per cent of SEMA members reported supply chain disturbances severely or moderately impacting their business in 2021. According to SEMA, supply chain disruption will continue to be an issue in 2022, but the worst is likely behind us. SEMA Market Research forecasts that most issues should improve to more normal levels by the end of 2022. Prices are anticipated to remain “somewhat elevated” for longer, however, likely into 2023. SEMA said product shortages, shipping and transport delays, and higher rates (shipping container rates are up 400 per cent compared to October 2019) along with elevated input and commodity prices (steel is up 262 per cent from October 2019) will be factors to watch in the automotive market.


Despite ongoing uncertainty, SEMA said 2021 was a strong year for the US economy amid record demand and consumer spending. Currently, the automotive industry has 2.91 million employees, only four per cent below employment levels from before the pandemic in February 2020, making the automotive industry one of the best recoveries of any sector in the economy. The US economy will continue to grow in 2022 but at lower levels than in 2021 due to significant headwinds. By 2023, however, the economy should be back to pre-pandemic growth levels.


SEMA said consumers interact with the automotive aftermarket industry differently, depending on their stage of life. Despite popular misconceptions, many young people care about their vehicles and are accessorising. Even as the population changes, consumers under 40 will continue to make up the majority of specialty-equipment spending over the next decade. In fact, nearly 70 per cent of specialty-equipment sales in 2020 came from consumers under the age of 40.

The complete SEMA report is available to download for free at