Selasa, 05 Mei 2020

Coronavirus: Lockdown sees new car sales drop by 97% in April - The Loppy

New car sales plunged by 97% last month compared to April 2019, according to preliminary figures showing the effects of the coronavirus lockdown on the industry.

The Society of Motor Manufacturers and Traders (SMMT), which is due to release the full figures later on Tuesday morning, said the early data showed just 4,000 new vehicles were registered.

That compares to 161,000 in the same month last year – a number already depressed as consumer confidence was knocked by Brexit deadlines and what the car industry described as “confusion” over the future of diesel-powered cars.

Boarded up shop on high street - economy

The SMMT is forecasting a 27% decline in car sales this year as the COVID-19 crisis takes its toll on incomes and wider demand with the economy tipped to face its deepest slump in a century.

The data for March – the new 20 plate month – highlighted the worst March performance for car sales in two decades.

Those figures, while dire, come as no great shock as most showrooms have been shuttered though some deliveries have made it through.

It has been a similar story for the UK’s car manufacturers, with the SMMT reporting a collapse in factory output because of the lockdown though Aston Martin, the luxury brand, intends to reopen its St Athan manufacturing facility in Wales on Tuesday.

Ian Plummer, commercial director at Auto Trader, said the end of the lockdown, when it comes, should be seen as an opportunity by showrooms – particularly to push growing interest in the electric vehicle market as new models come through.

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“With retailers forced to close the doors to their physical forecourts, it’ll come as no surprise to anyone to see just how dramatic an impact it’s had on the new car market,” he wrote.

“Some brands have been able to sell remotely, but uncertainty in the government’s guidelines or a lack of the required infrastructure to operate home delivery in a safe way, has limited it to all but a handful of retailers.

“Whilst the market is down significantly, our data does point to a market that has been paused, rather than stopped, and ready to return to health quickly once the restrictions have been lifted.

“Whilst traffic to our platforms has fallen, we’re still seeing circa 945,000 visits every day. What’s more, our research of over 3,000 consumers conducted last week showed that only 2% have been put off from buying a new vehicle.”

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2020-05-05 06:56:07Z
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