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There are still supply problems in the car market

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Global supply problems continue to worry the new car market in Australia: sales fell more than 12 percent in April.

The Federal Chamber of Automotive Industry said demand for new cars and trucks in Australia remains high, but problems with production and delivery continue.

Last month, 81,065 cars were sold, which is 12.2% less than in the same month last year.

Thus, the total market at the end of April was 343,501, down 3.5 percent.

FCAI CEO Tony Weber said the decline was not a reflection of buyer interest.

“This reflects the ability of the global car industry to supply cars not only to the Australian market but to all markets around the world,” he said.

“Car manufacturers continue to suffer from a shortage of microprocessor units, which affects their ability to increase production to pre-pandemic levels.”

Mr Weber said COVID-19 also continues to affect production and supply, especially where plants have been forced to close and transport operations have not yet resumed.

“This is reflected in the increased delivery time of new cars,” he said.

Toyota led the market in April with 17,956 cars sold, ahead of Mazda by 7,378, Mitsubishi by 6,463 and Kia by 6,180.

Toyota Hi-Lux was the best-selling model with 4493, ahead of Ford Ranger with 3581, Toyota RAV4 at 3373 and Mazda CX-5 at 2701.

Despite falling overall sales, demand for electric vehicles continued to grow.

The FCAI said it sold 866 last month, up from 286 in April last year, increasing demand in 2022 to 7,618, compared to 1,255 at the same time in 2021.

– AAP

https://thenewdaily.com.au/life/auto/2022/05/04/supply-issues-persist-for-auto-market/

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