Consumers to get the most productive deal on a new car or truck would probably have to stay away for a while.
This is because car dealers are still running out of stock of new vehicles due to plant closures this spring. Until production reaches demand, this sautomobilecity is helping to keep new vehicle costs high, according to second-quarter profit reports.
In terms of customer demand, he cited low interest rates, credit availability and a higher point of incentives, adding 0 consistent with the penny auto loans of captive financial companies from automakers.
In the July 28 call, David Hult, president and chief executive of Asbury Automotive Group, said availability varies by brand, but said it is likely this fall before stocks of new cars return to normal.
“We’re starting to ship vehicles, and we’ll have them in August. But with the call that’s there lately and the way the source comes, I think it’s mid-September before it starts to normalize,” he said.
With the exception of online transactions, sales of new vehicles stopped in much of the country this spring in an attempt to prevent the spread of coronavirus. Automakers also closed North American plants from March to mid-May.
GM reported that GM North America’s dealer stock (i.e. in the U.S. And Canada) 444,000 cars and trucks at the end of the quarter. This is 45% less than it was a year ago, and also 34% compared to the first quarter of 2020. As of July 25, GM said its dealership’s stock was more than 480,000 units.
CFO Dhivya Suryadevara said GM’s situation now starts in 2020 to fill brokers’ shares to approximately 600,000 sets until the end of the year. “We’re going to calibrate this based on the call point we see,” he said, but warned that GM’s plants, especially those that make lucrative pickup trucks and SUVs, are already working.
I am a journalist with more than 25 years of experience writing and directing the automotive industry. After graduating in journalism from the University of North Carolina-Chapel Hill, where I was a Morehead fellow, I started with the much-loved Nashville Banner, an evening newspaper. My speed included Saturn Corp. GM’s in Spring Hill, Tennessee, while the plant was still a hole in the ground, in addition to Nissan’s giant plant nearby. This became an article in Automotive News, the leading advertising newspaper in the automotive industry, as a singles workplace in New York, covering European luxury brands, Wall Street, publicly traded broker groups, retail car financing, and monthly car sales. A four-year period as head of market research and corporate strategy at Mercedes-Benz USA gave me a privileged perspective. More recently, my independent assignments have included Advertising Age, Automotive News, AutoWeek, Bankrate.com, Businessweek.com, CBS Interactive, The Financialist through Credit Suisse, ForbesAutos.com and Forbes.com. I’m also the former editor of Auto Finance News in New York.