Auto dealers facing shortage of supply and low sales


ROGERS, Ark. (NewsNation Now) – If you’re in the market for a new vehicle, you may have suffered the effects of supply chain issues at auto dealerships.

The market for new and used vehicles grew significantly in 2021 as the global chip shortage, triggered by the coronavirus pandemic, boosted auto production. However, as shortage issues continue, manufacturing delays continue to drive prices up and stall dealer sales.

Many of those huge parking lots have become parking lots – emptied because cars are scarce.

Before the pandemic, consumers could go to a dealership to purchase the vehicle they were installed on. Now, many consumers cannot choose the color of the vehicle they are buying when purchasing a new car. Automakers are forced to prioritize the production of some cars over others, sending buyers to scramble to try and find what they want.

Meanwhile, this shortage mixed with shipping issues across the United States is affecting local auto repair shops, from oil filters to brake parts. It takes longer for mechanics to get what they need to fix vehicles.

“The parts are the hardest part of our job because without them you can’t fix the car,” said Joey Tessman, owner of Joey’s Auto Shop in Iowa. “But it was really tough making sure you can always get the parts you want, the quality you want, and still be able to give the customer a turnaround time that works with them. “

All of these problems combined – supply chain issues, a shortage of auto parts and a lack of vehicle inventory – led to the slowest car sales month of the year, according to Edmunds, a news editor. on the automotive industry. Not only was September one of the slowest months, but the third quarter of the year was also down 13% from 2020.

Leave A Reply

Your email address will not be published.