Monday, March 20, 2023

US car market weakens in 2022

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automotive industry

US car market weakens in 2022 – outlook remains cautious

Intractable supply chain issues and shortages of key components like computer chips slowed the US auto market last year. According to analysis house Wards Intelligence, sales across the industry fell by eight percent to 13.7 million cars.

The heavyweight US carmaker Ford announced a drop in sales of around two percent to around 1.86 million new vehicles for 2022. (archive image)

It thus reached its lowest value since 2011. Things are likely to pick up again in the new year, but the outlook remains cautious. Wards expects 14.9 million new cars to be sold. That would leave the market well below the pre-pandemic mark of at least 17 million.

Volkswagen’s sales fell by 19.7 percent to 301,069 new vehicles in 2022 compared to the previous year, as the manufacturer announced on Thursday. In the fourth quarter, the company sold 22,303 cars with the VW logo to US customers – a drop of 20.5 percent compared to the same period last year. One bright spot was the ID.4 electric model. Here sales increased by 171 percent in the final quarter. However, the e-car does not yet contribute much to the volume – VW sold 20,511 units in the year as a whole.

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