Brembo: “The fundamentals of the aftermarket are good”

With five IAM ranges – Essential, Prime, Beyond, Xtra and the new tuning-oriented Upgrade line – Brembo is accelerating in the aftermarket. With revenues of $3.85 billion in 2024, the Italian equipment manufacturer is rolling out a series of new products, such as the CCM carbon-ceramic composite disc and the Euro 7-compliant Beyond Greenance range, which reduces fine particle emissions by 80%. “The aftermarket is not as flamboyant as in the last few years, but as Brembo manage to keep growing”, says Roberto Caravati. This is despite a difficult first six months in 2025. “The first semester on the brake market was not very good and showing signs of decline between March and July, which is traditionally the strong season for braking market. But in the second semester, it went up again.”

This volatility can be explained by cautious supply management throughout the value chain. “All players in the sector are managing their cash flow very carefully, especially the stocks, and it was necessary to clean up the value chain before reordering from parts manufacturers.” For 2025, at group level, Brembo is forecasting a 2% decline in its overall turnover, including OEM, but with EBITDA remaining at 16%. “The outlook remains complex. The automotive industry is undergoing a period of major transformation, which is making the situation difficult for everyone,” acknowledges Roberto Caravati, who nevertheless anticipates continued growth in the aftermarket.

The geography of performance reveals significant disparities. North America is showing “very good” growth, driven by partnerships with all the major distribution groups. China also represents major potential: “The vehicle fleet there is ageing in a way that is favourable for the spare parts market, now reaching 6 to 7 years old, and we are able to showcase our products in the high-end segment. End consumers are willing to pay for this.”

South America, meanwhile, is a pleasant surprise. “We were attending the Sao Paulo aftermarket fair, Automec, for the first time this year, and we were pleasantly surprised. We believe there is an interesting dynamic and a place for a high-end brand like ours.” In Europe, Brembo says it is ‘quite satisfied’ with its progress. “Over the past two years, we have seen good growth in Scandinavia, Germany, Benelux and also France, which was not an easy market for us.” Only the Middle East-Africa region remains difficult due to conflicts.

However, the US customs offensive is having a direct impact on Brembo. Customs duties on parts from China have jumped to 72.5%. “Brembo is producing Discs globally so that represents an advantage for us,” explains Roberto Caravati. This cost is inevitably passed on to distributors, likewise all other suppliers. This trade war is pushing China to seek alternative markets. To gain more control over its destiny in this situation, Brembo set up a joint venture with Chinese equipment manufacturer Gold Phoenix two and a half years ago for brake pads, ensuring total quality control.

“Customs tariffs are facilitating the arrival of Chinese parts manufacturers in Europe. But if you have high-end products and a powerful brand, you can thrive,” says the executive. He welcomes the significant polarisation between private brands and high-end brands. “We are not seeing any difficulties in the premium market. It is the mid-range segment that is suffering the most.” This polarisation now shapes the global IAM landscape. “Everyone wants to get into brakes, because it's the most attractive segment in the life of a car,” observes Roberto Caravati.

On the electrification front, Brembo advocates a pragmatic approach. “Europe cannot settle for an all-electric approach. European car manufacturers do not produce the number of electric vehicles needed to survive. There must be other options. We believe it is very important for the European Commission to understand that 2035 is tomorrow,” insists the COO. The Italian manufacturer, a member of Clepa, emphasises the importance of a unified voice for the automotive industry, including ACEA.

“It is very important that discussions on this subject are highly focused.” Despite the uncertainties, Roberto Caravati is confident: “In the IAM, the macrotrends to sustain the growth are there; the fundamentals are all good. At Brembo, we must continue to offer what consumers need, specifically talking about braking, we shall continue to focus on safety and quality and explain to people to not compromise the quality and performance.”