Global Automotive Sales Will Decrease By 14 Percent
Moody’s: Global automotive sales will decrease by 14 percent
International credit rating agency Moody’s reported that global automotive sales are expected to decrease by 14 percent in 2020 due to the coronavirus (Covid -19) outbreak.
In the statement made by the credit rating agency, it was stated that global automotive sales were expected to decrease by 2.5 percent in 2020, and this expectation of decrease was revised as 14 percent with the recent developments.
In the statement, it was stated that the recovery in sales in the automotive sector depends on the future outlook of the coronavirus epidemic, and it is noted that the recovery in sales can be seen in 2021.
In the US, it is predicted that car sales will decrease by 15 percent this year, while it is expected that the decline will be 8 percent in Japan.
The statement also stressed that automotive sales in Western Europe are expected to decrease by 21 percent this year and 10 percent in China.
“We expect global auto sales to decrease by 14 percent in 2020,” said Moody’s Senior President Falk Frey. This is a much stronger drop than our 2.5 percent contraction forecast for February 2020. This expectation of shrinkage is mainly due to the contraction in consumer demand due to coronavirus, “he said.
Unfortunately, we understand from Moody’s analysis that global automotive sales will decrease much more than it is expected at the beginning of 2020. For more reading about the article click the link.
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