Did You Miss Webinar Examining Short-Term Challenges Facing Automakers Due to COVID-19 Pandemic?
The SAA partnered with the Automotive Press Association to hold a webinar on April 3 that looked at how first-quarter results reflected the early impact of the crisis on auto sales, and the short-term challenges automakers face due to the pandemic?
The webinar featured leading analysts including LMC Automotive’s Jeff Schuster, IHS Markit’ Stephanie Brinley and Cox Automotive’s Michelle Krebs.
If you missed it or would like to hear it again, you can access the webinar by clicking here. NOTE: The webinar will no longer be live after April 10, 2020.
Don’t Miss the Next Webinar Looking at the State of Automotive Recalls
When the SAA and Stout held the first Annual State of Automotive Recalls/Warranties Summit in 2014, it was mentioned that recalls would continue to grow and become the new normal. In 2019, the industry saw a record number of light vehicle recalls, involving 38 million vehicles. Just recently, a recall of 1.8 million vehicles due to a potential fuel pump failure was announced.
Join the SAA on April 29 for a webinar examining the latest trends and insights regarding automotive recall size, scope and type. Additionally, find out how or if COVID-19 will impact recalls. The event is held in partnership with Stout and is sponsored by LexisNexis.
Auto Sales Plummet in First Quarter as Coronavirus Keeps Buyers Away
Source: NY Times
Automakers reported a plunge on Wednesday in new-vehicle sales as fear of the coronavirus and stay-at-home orders kept consumers from dealerships, adding to the troubles of the country’s largest manufacturing sector.
LMC Automotive Revises Sales Estimate
Under the grip of the COVID-19 pandemic, LMC Automotive expects the percent decline in global Light Vehicle sales in 2020 to be nearly double that of the fall during the Great Recession (between years 2007 and 2009). With every market around the world now struggling from the COVID-19 impact, there remains significant risk as the situation is extremely dynamic.
Coronavirus Expected to Cripple U.S. Auto Sales; Companies Push 0% Financing, Online Buying
Automakers are offering 0% financing, deferred payments and online tools in an attempt to salvage sales as the coronavirus pandemic cripples the auto industry. As a result of skyrocketing jobless claims, weakening consumer confidence and state orders for residents to stay at home and nonessential businesses such as dealer showrooms to close, automakers this week are expected to report their worst sales declines in years.
European Car Industry Prepares for the Worst as Sales Plunge
Damage to the European car industry from the coronavirus pandemic is piling up, after sales plunged in France and Spain and a major parts supplier scrapped its outlook.
French passenger car registrations dropped 72% in March compared with the previous year, according to the CCFA trade group. In Spain, new car registrations fell by 69% to below the worst levels of the financial crisis, the Spanish Association of Automobile and Truck Manufacturers said.
The U.S. Auto Industry has Stepped Up Yet Again in a Time of Crisis as the Nation Battles the Coronavirus Pandemic
Source: Business Insider
In prosperous times, we take the US auto industry for granted, when we aren't complaining about it. But in times of crisis, we see what companies are made of, and as the COVID-19 coronavirus pandemic rages, it's been clear that America's carmakers have a vital role.
COVID-19 Resource Center for Manufacturers
Plante Moran has created a resource to help manufacturers navigate through critical phases most companies are facing due to COVID-19: 1) Resource; 2) Restart and 3) Plan for the future.
Car Sales Braked in March, Will Sputter More in April, Analyst Forecasts
Source: New York Post
U.S. new vehicle sales likely drove off a cliff in March as the coronavirus pandemic pounded consumer confidence and shuttered dealerships across much of the country, and sales are likely to take a further beating in April as social distancing guidelines remain in place.
Will New EPA Standards Impact Vehicle Lightweighting?
The March 31, 2020 EPA ruling on fuel economy and CO2 emissions is important because it sets minimum environmental targets for light vehicles sold in the US for up to the next six years. This ruling provides the necessary certainty for investments and technology compromises for the next generations of vehicles. In 2019, the new fleet achieved a 25.5 mpg real-world fuel economy, and CO2 emissions were 346 grams/mile. The 2026 real-world target, announced on March 31, is less than 33 mpg (40.4 mpg compliance) and requires an improvement of a 1.5% annual increase in emissions (compared to the 5% set by the previous administration).
By Rolling Back Fuel efficiency Standards, Trump Could Be Dooming the U.S. Auto Industry
On Tuesday, the Trump administration announced that it will officially roll back fuel efficiency standards for the automotive industry, securing a major policy victory for the president — and a significant step back for everyone else. Under the new rule, which will go into effect this spring, the Environmental Protection Agency and the Department of Transportation will allow car manufacturers to roll out fleets of vehicles that average about 40 miles per gallon by 2025 — rather than the 54 miles per gallon standard that the Obama administration put into effect in 2012. The change represents a shift for the auto industry, which now has a much lower standard than those found in other advanced economies, and a likely increase in the levels of pollution produced by transportation.
Pandemic Will Have “A Permanent Effect” on Auto Industry
Source: The Detroit Bureau
As bad an impact as the coronavirus pandemic has had on the auto industry already, things are likely only to grow worse in April and possibly, beyond, three leading analysts concluded during a webinar on Friday. Virtually nothing connected to the industry will escape unscathed, as the latest headlines are making clear, AutoNation, the largest automotive retail chain in the U.S., shuttering showrooms across the U.S. and laying off at least 7,000 employees.
Grappling with the Auto Industry’s New World During COVID-19
For the auto industry, figuring out how to carry on during the building and changing chaos of the coronavirus pandemic is a little like trying to solve a jigsaw puzzle where the pieces suddenly don’t fit and the picture keeps changing.
Automakers Might Seek Federal Incentive Program to Kick-Start Sales
Source: The Detroit Bureau
With U.S. auto sales now expected to plunge as much as 80% in April and, for the year, drop to levels not seen since the Great Recession, automakers are looking for help, possibly including a federal incentive program that could kick-start demand that might otherwise lag well into 2021.