The negative local effects of a Global crisis: The auto industry is a key part of the UK economy at £78.9 billion in annual sales. Click to Enlarge.
The UK new car market saw a decline last month again as registrations in November fell -27.4% year-on-year, or 42,840 units, according to the Society of Motor Manufacturers and Traders (SMMT). This means a – gasp- -£1.3 billion revenue drop in November as 42,840 fewer new cars than November of 2019 joined British roads at an average price of £30,000. The market is now down -30.7% year to date or 663,761 units.
During November when showrooms across England had to close due to new lockdown restrictions, the industry recorded 113,781 new registrations, taking trade back to levels last seen during the 2008 Great Recession. Continue reading
Trump’s Losing Trade Wars – Auto and Other Deficits Grow
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The US international trade deficit in goods and services increased to $63.1 billion in October from $62.1 billion in September as imports increased more than exports.*
Despite magical thinking from the Trump Administration, the October imports of automotive vehicles, parts, and engines ($32.2 billion) were the highest since July 2019 ($32.4 billion). Worse, October imports from Mexico ($33.1 billion) were the highest on record. US vehicles sold in China are now at a distinct price disadvantage to European and Asian imports because of retaliatory tariffs. In fact, U.S. trade in goods with China year-to-date is a whopping -$25,289,400,000. Continue reading →