coronavirus

Coronavirus is a car sales roller coaster with an uncertain end

By Jaime E. Love 7 months ago

With no handy playbook, no precedents for the toxic economic fallout from COVID-19, the only thing predictable about auto sales is now unpredictability. And with viral spikes forcing fresh public restrictions — including in California, the nation’s largest auto market — any automotive recovery seems likely to follow the same topsy-turvy course.

Analysts say the worst may be over. But they can’t be sure. The pandemic drove auto sales to a sickly, 30-year-low in April, as Americans bought just 633,000 cars — down 53% from April 2019, and worse than any sales month of the Great Recession in 2009. 

June brought a few rays of hope. But June’s annualized selling rate of 12.9 million units was still a stark reminder of the booming 17.2-million pace of the previous June. Second-quarter sales at General Motors, Ford and FiatChrysler fell 30% or more. Tesla’s mere 5% drop —and a stock

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UK car industry warns 1 in 6 jobs could be lost to coronavirus and Brexit

By Jaime E. Love 8 months ago
Getty Images
Getty Images

The UK car industry has called for a financial support package and warned that 1 in 6 jobs could be lost due to coronavirus.

A third of automotive workers are still furloughed, and more than 6,000 UK automotive job cuts have been announced in June as a result of lockdowns, closed markets and shuttered plants, the SMMT said.

The trade group is calling on the Government to address this with a support package for the entire sector to help drive demand and ease cashflow.

Measures including unfettered access to emergency funding, permanent short-time working, business rate holidays, VAT cuts and policies that boost consumer confidence would accelerate a sustainable restart for the market and manufacturing.

Mike Hawes, SMMT chief executive, said: “UK automotive is fundamentally strong. However, the prolonged shutdown has squeezed liquidity and the pressures are becoming more acute as expenditure resumes before invoices are paid.

“A

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How to hunt down a used-car deal from a rental company like Hertz, Enterprise during coronavirus

By Jaime E. Love 8 months ago

As Hertz offers to sell thousands of its cars at steep discounts and millions of Americans face financial uncertainty due to coronavirus, now might be a good time to hunt for bargains from rental car companies. 

“There are definitely good deals out there,” said Rick Ricart, president of the pre-owned vehicle dealership Ricart Automotive in Ohio. “Rentals are down, and rental car companies might be getting aggressive to cut their losses.”

But there are also things to look out for. 

Pouncing on a used-car deal just because you see an alluring price could leave you in a financial bind down the line. And with cases of COVID-19 ticking up, buyers should take extra precautions before taking off in a car previously driven by dozens or even hundreds of other people. 

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Here’s how to smartly and safely find a used-car deal from a rental company in the age of COVID-19:

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