Last Updated: June 3, 2022
Fleet Office & Supplier Partner Updates
We continue to stay in close contact with our supplier partners across all services. Below is a summary of helpful information and known supplier updates.
General
Our service providers have embraced a new normal operation as they are recovering from the adverse impacts of COVID-19. To that extent, they continue to ensure the health and safety of our clients through enhanced cleaning and sanitizing protocols. The biggest challenge remains the supply chain constraints due to the microchip shortage. Below, you will find the challenges across the supply chain and how to mitigate any issues.
If a vehicle requires disinfection/sanitization, simply have your driver contact Wheels’ maintenance services and we will coordinate the service. Often, the supplier can come directly to the vehicle for the disinfection/sanitization process. Just as they do with their preventive maintenance needs, the driver will simply present the MAP Passport to the supplier partner and they will work with our team on payment.
Driver Services
- Wheels’ Driver Services team continues to remain fully operational.
- While Wheels is experiencing normal call volume and hold times, there are
Vehicle Acquisition
- From semiconductor shortages to foam seating delays, part shortages have caused production delays on current orders. We expect we will continue to see extended lead times and delays through 2022 as COVID-19 continues to affect the automotive supply chain. The most significant shortage is caused by a global shortage of semiconductors. A significant portion of the semiconductors used in automotive production come from Taiwan and other areas of Asia which have had significantly reduced production as a result of COVID-19.
- High demand for vehicles along with extremely limited dealer inventory will continue to put pressure on the supply chain.
- This year, assembly plant production schedules were re-arranged to build vehicles ordered pre-COVID. This means MY21 was extended which will cause MY22 production to be limited. Many MY21 orders that could not be produced have been rolled into MY22 and will be prioritized in the initial production. This action will extend lead times on new orders.
- Trucks and vans are in very high demand. As a result, once MY22 order banks are opened, orders will need to be placed quickly to avoid early cut-off dates on fleet orders. Please note, General Motors and Toyota require pre-approved fleet allocation before orders can be placed.
- SUVs, Crossovers and Minivans are subject to earlier cut-offs than in a normal year.
- Dealer inventory is expected to remain at an all-time low due to high retail demand and limited production. As a result, customers can expect higher than normal out-of- stock pricing but strong resale values.
License and Registration
- Many Department of Motor Vehicles and Ministries of Transportation have reopened. Click here for detailed updates for the U.S. Note that Canada is currently not experiencing any delays. We will continue to monitor their status.
Fuel
- Our supplier partners continue to be fully operational.
Glass
- OEM plant shutdowns due to chip shortages has also impacted glass manufacturing plants. This is causing shortages of glass windshields supplies for vehicles.
- Port Congestion – COVID outbreaks at the Los Angeles port and Yantian Port in China has caused major delays in container shipments to the U.S. increasing supply issues related to glass windshields.
Vehicle Upfitting
- Our supplier partners continue to be fully operational. However, due to an increase in steel and aluminum prices, some upfitters are increasing their prices. Recent part shortages are also affecting upfit deliveries.
Vehicle Transport
- Transportation companies are fully operational. However, there is a shortage of transport trucks and drivers. It is also becoming more difficult in arranging driver logistics for longer distances when rental vehicles and Uber or Lyft rides are not available. These issues are having an impact on timely delivery of vehicles. Furthermore, DMV delays are causing delays in getting title and registration completed for vehicles, which impacts a timely delivery.
- For those vehicles that are being delivered, our partners have communicated with their drivers to take extra precautions regarding personal and vehicle cleanliness as well as social distancing when dropping off vehicles. Partners are continuing to share the importance of wearing masks, wiping down surfaces and social distancing, allowing for contactless pick up and deliveries with all their drivers.
Commercial Motor Vehicle Compliance
- Our supplier partners continue to be fully operational.
Rentals
- Majority of the rental locations have reopened. However, rental companies underwent a huge swing in demand. COVID-10 has caused rental companies to consolidate and close stores as well as restructure their operations. This year, many families decided to rent vehicles to take vacations rather than fly, which significantly increased the demand for rental vehicles, which the rental companies could not fulfill.
- Our partners continue to prioritize our fleet rentals above retail bookings due to the higher demand for vehicle rentals.
- Vehicle rentals are the latest fleet industry segment to face the long-term impacts of the pandemic. Please visit Vehicle Acquisition Spotlight: Rental Shortfalls for more information.
- We recommend clients to book reservations at least 48 hours in advance for rentals, and then call the rental location before your driver leaves to pick up the vehicle, to ensure that the vehicle is available and ready.
Roadside Assistance
- Our supplier partners continue to be fully operational.
- Many providers are not allowing drivers to ride along during a tow. Our associates are prepared to assist with alternate transportation.
Safety
- Behind the wheel training will resume in a new format that limits interaction. The classroom portion will be completed online before the behind the wheel portion of the class. For the behind the wheel portion, drivers will remain solely in their own vehicle with a remote instructor.
- Note that although certain jurisdictions temporarily extended the expiration date for licenses, MVR / Driver Abstract results will still show if a license has expired based on the actual date on the license.
Toll Management & Violations
- Tolling agencies have resumed normal operations; however, most toll authorities are not accepting cash or shut cash acceptance off completely for safety purposes. Click here for additional detail.
Connected Vehicle & Telematics
- Geotab has experienced shortages of telematics devices due to the microchip shortage and local workforce restrictions at the device production facilities. Our installation partners continue to be fully operational.
Vehicle Maintenance & Collision Repair
- Our supplier partners continue to be fully operational.
- We are experiencing extremely long hold times to call and report an auto claim across all of the major insurance companies.
Vehicle Remarketing
- All auction locations are operational, including Canada for digital sales. Some auction locations are starting to reopen lanes to dealers buying inlane and online. This change is entirely based on each state’s COVID-19 numbers. Prices for used vehicles remain strong as new vehicles are not available for sell due lack of supply at dealerships.
- Transportation from dealerships or branch locations to auction locations continue to be slower due to the lack of transporter carriers and drivers since COVID-19. This trend will continue into the winter months as weather can have an impact on transporting vehicles. The accuracy of the location and contact information of a used vehicle for pick up is critical when sending a vehicle to an auction.
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