FLEETDRIVE
How badly has COVID-19
affected the automotive
industry and what will the
future look like? AfMA checks
out some of the biggest issues
affecting a battered industry
and considers some of the steps
that might help us get out of
this mess together.
WORDS BY DANIEL BRAID
A disastrous May – sales down 35 per cent
The Federal Chamber of Automotive Industries
(FCAI) has released new vehicle sales statistics for
May 2020, which show a continuation of the steep
decline in sales witnessed in April this year.
Across the nation, 59,894 vehicles were sold
during May 2020. This represents a 35.3 per cent
reduction in sales when compared to the May
2019 figure of 92,561 vehicles.
The May total sales figures also represent the
largest drop in May sales since VFACTS statistics
began recording in 1991. Tony Weber, chief
executive of the FCAI, said the automotive market
has been under pressure for some time.
“May 2020 is the 26th consecutive month of
negative growth for the market, and the causative
factors are well documented - droughts, floods,
bushfires, tight lending conditions, unfavourable
exchange rates, and political uncertainty.
“Now, we add to that the devastating effect of the
COVID-19 pandemic over the past three months.
“While COVID-19 is primarily a health crisis, it has
brought about an economic crisis as well. These
are difficult times for the global and domestic
economy, and this of course has repercussions
for the local sales sector, including the automotive
industry,” Mr Weber said.
ISSUE 23 2020 / WWW.AFMA.ORG.AU
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