Modern vehicle manufacturing plants are massive operations that can produce hundreds or even thousands of vehicles per day. Industry sales have slowed down in the last few years, for a number of reasons, but the sector was still worth $2.86tn in 2021.
Major manufacturers like Toyota, GM, and Ford operate large factories all over the world to produce their various models. Once vehicles come off the production line, they undergo thorough inspections and testing to ensure they meet the manufacturer’s quality standards. Any issues identified are corrected before the vehicles leave the factory.
Preparing Vehicles for Shipment
After production and inspection, the vehicles need to be prepared for shipment to dealerships. A car shipping checklist applies whenever vehicles are moved from A to B by transport companies. This involves several steps:
- Installation of any extra options or accessories ordered for specific vehicles, like navigation systems, special wheels, etc.
- Programming of all electronic components and onboard computers.
- Fluid levels checked and adjusted if needed.
- Battery charged.
- Exterior cleaned and polished.
- Protective coverings added, like door edge guards, seat covers, wheel covers, etc. This prevents damage during transport.
- Assignment of a unique Vehicle Identification Number (VIN) that identifies each specific vehicle.
Once prepped, the vehicles are driven to staging areas where they will be loaded for transport.
Loading and Transport Methods
Vehicle manufacturers use several methods to transport inventory from factories to dealerships:
Rail Transport
Many manufacturers use railcars to move a high volume of vehicles across long distances. Special autorack railcars can hold 10-15 vehicles stacked on two levels. Long trains with over 100 autorack cars transport thousands of vehicles in one trip. The vehicles are secured with straps and protected from damage during transit.
Truck Transport
For shorter hauls of just a few hundred miles, manufacturers use large enclosed trucks that can carry around 10 vehicles. The vehicles are driven up ramps into the back of the truck and strapped down. Trucks allow more direct shipments from the factory to dealerships than using rail.
Ship Transport
For overseas export markets, vehicles are driven into cargo ships designed to hold thousands of vehicles. The vehicles are secured to prevent movement in rough seas during transit across oceans. Special port facilities help efficiently load the vehicles on and off the ships.
Drive-Away Delivery
For local dealerships within a few hundred miles, some manufacturers have drivers pick up new vehicles right at the factory and drive them to the dealerships. This direct factory-to-dealer delivery method is the quickest option for getting inventory to local dealers.
Inventory Management
Manufacturers use inventory management systems to track each vehicle from the point it’s produced to when it arrives at dealerships. This allows them to efficiently schedule shipments and route vehicles to the correct destinations across their dealer network.
Dealers rely on timely deliveries to have the latest models available for customers, so vehicle manufacturers put great focus on keeping their complex vehicle transportation and logistics operations running smoothly.
