With the pandemic lasting more than four months into the year of 2020, car sales have gone down to a record low. People have been holding onto their old vehicles as long as they can, with the uncertainty of the future.
Without the need to drive around especially during lockdown, the automotive industries have been hit hard with car sales.
BMW
BMW is a luxury brand who sells around 320,000 cars per year. The sales increased every year and they have been on a winning streak...until 2020 came around. BMW stated that their sales fell 39% during the pandemic, including SUVs and cars evenly.
GM
GM has also decreased in sales by 34%, very similar to BMW. The low demand for cars was to blame for the major decrease in sales, but the sales have increased since May. GM has continued its production in their plants for the summer.
Even though the GM cars such as Chevrolet went down by 34%, Cadillac 41%, and others very similar, the Chevy Blazer interestingly actually increased by 68% in sales.
Honda and Hyundai
Honda and Hyundai both declined in sales around 25% respectively, but the Hyundai sales started ramping up in June, increasing sales by 6%. Fleet sales have decreased by 93%, and Hertz even filed for bankruptcy in May.
Volkswagen and Porsche
The Volkswagen has also decreased in sales by 29%, but retail sales went up 16% since last year. The Passat and Arteon increased in sales up to 33%.
The Porsche decreased in sales by 20%, with a lot of luxury brand cars decreasing in sales during the past few months. The reason is that people are focusing more on buying essentials and omitting needs for expensive luxury goods. A lot of people are stacking up on food and necessities, compared to travel and vehicles.
Even though people are still uncertain of the future, car sales have gone up slightly for many companies, and it seems that there is hope of businesses going back to normal.
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