Sedgwick outlines European recall trends

Sedgwick has published its European state of the nation recall index report, explaining the principal cross-industry market trends of 2020 and revealing predictions for 2021.

Looking ahead in 2021, it anticipates the European automotive sector will continue to struggle with sales; production targets will be down around 10%. Electric vehicles will become the core focus of manufacturers.

While the increase in automated food production should improve quality, new risks will arise with these advancements. The rise of conscious consumers looking to eat more sustainably will put traceability and origins of produce in the spotlight.

Precision medicine and investment into digital systems (including artificial intelligence) will reduce the scale and frequency of pharmaceutical recalls. 

The growing use of digital technology (including wearable fitness tech and virtual reality) will continue to drive increased product complexity and cyber-security risks, and therein product recalls. 

The new European Medical Device Regulations and expectations of further quality control procedures across the supply chain will have a direct impact on businesses and products.

Consumer electronics will see a resurgence in 2021 as consumer confidence returns and demand is unleashed. Recalls will be inevitable with online sales predicted to grow.

Meanwhile, with toy recalls Increasing due to chemical faults, consumer concern is putting even more pressure on the industry to rethink its commitment to the circular business model.

“Over the last year, recalls have fluctuated across the board and much of that has been due to the ongoing pandemic,” said Mike Malaure, managing director of Sedgwick’s international brand protection division. “As production dropped in 2020, so too did the volume of recalls across most categories, but that will not be the case for 2021 as demand continues to outpace supply in some sectors.”