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Impact of Coronavirus on Automobile Industry

How many of you have driven your cars, or bought a new car, since we’ve been home from school? I assume most of you probably haven’t, and even if you have it has problably been very limited. The coronavirus has had a significant impact on business as a whole, and the automobile industry is no exception. An article from USA Today discusses the impact that the coronavirus has had on the automobile industry and its possible future. J.D. Power, an analytics company that works a lot with the automobile industry, says that even though the industry might take a hit of up to three million dollars, it can definitely recover. Because cars don’t have a short shelf life, stockpiled inventory can be sold after the pandemic starts to die down. However, this doesn’t mean that the industry is in the clear. Sales were down for March, and are predicted to stay down for a while. This article focuses on the auto industry in the United States, but it also mentions China as an example. Since China has had a rapid recovery, the United States could follow their lead and almost be back to normal (as far as social distancing guidelines) sooner than expected.

This article is related to this course as I am doing my project on the automobile industry. It will be very interesting to see how this industry does with all the current concerns. Does anyone have any comments, questions, or car-related stories during the pandemic?

Reference:

https://www.usatoday.com/story/money/cars/2020/03/19/coronavirus-vehicle-sales-projection-down-millions/2873267001/

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