In the USA General Motors have revealed they have almost 100,000 vehicles in their stock that lack some parts and are unable to be completed as supply of semi-conductors is still causing major issues.
Like most of the world’s larger manufacturers GM have committed to launching 30 new electric models by 2025 and their sales and market share have increased in the last three quarters. In spite of this their share price has almost halved this year.
Tesla is also expected to report its first quarterly drop in deliveries, ending a two-year record run. Shares in Tesla have declined this year by 44 per cent.
Virtually all manufacturers are experiencing similar problems and there are very few vehicles in dealer’s showrooms. Additionally, sold vehicles are not coming through as hoped and manufacturers are forecasting that current stocks of uncompleted vehicles may not be delivered to dealers until the end of the year.
If new vehicles do not arrive then the part-exchange is not becoming available for the used car market, so although sales and prices have fallen from their peak over the last couple of months they will be expected to rise again as dealer stocks fall. This may be the best time to buy a used car so check prices if this is something you are intending to do in the next few months.
Consumers are suffering from a fall in confidence with inflation running at high levels, energy price increases, and the price of petrol. We await with interest to find out who will be our new Prime Minister after the various ballots and, even more importantly, what changes they are going to make to ease the situation. Petrol has started to fall in price but it is still at close to record-levels, and with many families preparing to set off on their summer holidays this will be an added expense not budgeted for. Hopefully, there are still savings from not flying and all can enjoy a well-earned break. With the extreme heat now behind us we can enjoy the UK at its best which will be of a benefit to the whole family and the opportunity to have fun together. If you are due for a service in the future, it may be a benefit to talk to your local dealer and find out if there are any savings to be made if you came in earlier. This is possible as some new vehicles arriving during August will wait for the new registration in September putting pressure on the service areas, whilst they may have some spare capacity right now. This should also ensure your vehicle is in prime condition on your holiday and help you achieve good economy and no breakdowns.
Lastly, as a result of the shortages some manufacturers are building cars to different specifications using parts they have available so you may find something that is of interest. Check it out at your dealer.
Written by Peter Vosper
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