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Dealers worry that continued increases will cut demand, raise stocking costs.
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Dealers report elevated prices, a lack of affordable vehicle models, and higher interest rates are pricing many consumers out of new cars.
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Interest rates will continue climb, eating into inventory improvements’ effect.
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Cox’s Auto Market Weekly Summary for January 13 shared both positives and negatives.
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Auto industry analysts remain on high alert for “demand destruction” as high interest rates, escalating vehicle costs, and a down economy threaten auto sales.
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Sales of new automobiles plunged to under 14 million vehicles in 2022, the lowest since 2011, reports Kelley Blue Book.
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Economic pressures expected to make 2023 even more challenging.
Read More →Report shows interest rates, continued high prices cramping volume.
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In a down economy, industry experts recommend dealerships offer a range of finance and vehicle options to address budgetary concerns.
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