Crunch

Low car inventory, microchip crunch, flood-damaged lemons explained

COLUMBUS (WCMH) — Car shoppers are frustrated by new models held up in cargo ship delays off the California coast while second-hand scammers in the used-car market create nightmares for bargain hunters.

But the market is set to right itself soon, says Rick Ricart, president of Ricart Automotive who gave tips to NBC4 on what to look for in a used or new car — and avoid scammers.

Low inventory and delays for new cars

“Luckily, I think we’re finally on the uphill climb back to supplies normalizing at some point in the future.” Vehicles are stuck off the coast, says Ricart. “We are having a very difficult time getting some of our imported vehicles to the lot. We know that there were a lot of vehicles that were built in Korea, Japan, and the like that are on container ships,

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A supply crunch has sent used-car prices soaring. These 16 models are now worth more used than new.

A gray 2020 Kia Telluride on a green lawn.

A new Kia Telluride costs close to $4,000 less than a used one – if you can find one. Kristen Lee/Business Insider

  • Car dealers are facing a supply crunch that’s sent used-car prices through the roof.

  • Some 2019 and 2020 cars are now cheaper to buy new, an analysis from iSeeCars found.

  • The Kia Telluride costs $3,564 more to buy used than new, the analysis found.

  • See more stories on Insider’s business page.

Skipping a brand-new car for one that’s lightly used has always been the most wallet-friendly way to buy a car. Not anymore.

In the strange and sometimes utterly backward-seeming times we’re living in, it’s actually cheaper to buy some cars new rather than secondhand. A recent analysis from the automotive-research site iSeeCars.com identified 16 such vehicles, some of which cost thousands more to buy used.

The pandemic has led to a diminished supply of cars and

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Used-car prices leap on US economic recovery and supply crunch

Used car prices in the U.S. are soaring.

The Manheim U.S. Used Vehicle Value Index, a gauge of pricing trends, soared to a fresh record Tuesday as factors ranging from chip shortages to a rebounding economy conspired to keep pressure on automotive inventories.

The index, which updates mid-month, rose by 6.8% in the first 15 days of April from the final March figure and jumped 52% from the same period a year ago to a level of 191.4.

The index is compiled by market researcher Cox Automotive Inc. The data takes into account all U.S. sales through Cox’s Manheim automotive auctions that fall in to one of 20 different market classes, excluding motorcycles and vehicles like heavy trucks, and is adjusted for seasonality and mileage.

“Demand is perfectly stimulated from improving consumer sentiment, recovering jobs, accumulated pandemic savings, tax refund season, and American Rescue Plan cash payments,” Cox Chief Economist

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Toyota Leads Losses After Renesas Fire Stokes Chip Crunch Fears

(Bloomberg) — Japanese automaker shares fell Monday after a fire unexpectedly halted one of chipmaker Renesas Electronics Corp.’s largest plants, exacerbating a growing global shortage of automotive semiconductors.

Renesas slid as much as 5.4%, while customers from Toyota Motor Corp. to Honda Motor Co. and Nissan Motor Co. also fell in early trading. One of the biggest suppliers of car chips, Renesas was forced to halt a Japanese plant Friday after a fire broke out in one of its clean rooms, critical areas designed to keep impurities from contaminating semiconductors.

Toyota said Monday it’s trying to gauge the fallout from that unexpected halt, which could ripple across an industry already struggling to keep assembly lines operating during a severe shortage of chips. The Renesas fire will likely worsen a crunch that stemmed from booming demand for home and work gadgets during the pandemic, estimated earlier this year to cost global

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