American car dealers take cars out to seaMay 8, 2020
Due to the coronavirus pandemic, the automotive industry in different countries of the world is going through hard times. In the USA, for example, sales of cars “sank” to a minimum, while their production does not stop. Hence the crowded warehouses and the need to look for new places to store transport.
For many car dealers in America, March and April were the worst months in terms of sales. In order to somehow boost demand, buyers are promised attractive discounts, interest-free loans, as well as gift options when buying a brand new car. However, even such measures are unsuccessful. At the same time, despite the drop in demand, machine production continues. Hence the shortage of free space in warehouses.
Recall, the other day our portal said that a ship with several thousand Nissan and Infiniti cars on board drifted for almost a week off the coast of Los Angeles. The ship could not be unloaded due to the lack of available seats: the port was packed to capacity with unsold vehicles. In a normal situation, unloading the vessel would take only half a day. So it turns out that American dealers have to store their cars on ships.
The demand for new cars is also difficult to recover due to the secondary market: he quickly reacted to the economic situation by lowering prices. So used cars got a serious competitive advantage over new cars.
At the same time, it is noted that large automakers, for example Ford, count on support from the state, which will help them withstand the crisis. Experts, however, do not expect rapid growth in demand for the car market even after quarantine is lifted.
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