Amid the massive worldwide lockdown, the one sector that received a great hit, a jolt of sorts, was the realm of automobiles. Didn’t help the carmakers that are manufacturers of premium brands. Didn’t definitely help those who are sort of established players or just about dabbling in the used car business. Right?
The plunging sales figures that are pointing southward and do not suggest the point of return to normalcy have been, for quite some time, a real cause of concern. The dealerships have been lying defunct. They are empty.
The auto experts, the pundits, journalists have all been lying low. But then, that seems to be a thing of the past. In the current perspective, it appears that a change is on the cards, or at least, on the horizon.
The change that we all awaited, it seems, is finally here. A blank estimation? Well, not really!
This is true for the new demand of cars from a global standpoint. Yes, not a figment of the imagination. But an accurate estimation of global thought leaders and estimators of what’s in tow.
In fact, where it stands at the moment, then it has been assessed that there will soon be a rise in new car demand. This will essentially be a two-point advantage in the sense that not only will the new rise in demand for cars aid the negative car sales figures but will also help fuel the demand for fuel, whacky as that may sound.
The Bloomberg Quint, in its estimation of what’s making news from the US and China offered a vastly different perspective to what was the common story, thus far:
Gasoline’s recovery may extend into summer amid changes in the way people vacation. In the U.S., demand for long-haul recreational vehicles has picked up as people opt for road trips over air travel. Jon Gray, chief executive officer of RVshare, said bookings in some areas have more than doubled compared with last year. “We saw an almost overnight doubling of bookings” as lockdowns showed signs of ending, ” he said.
But that being told, how the new recovery of cars is slated to pan out, may offer bright optimism for the sale of oil although that may not be the case for the electric cars.
So what’s slated to happen? It’s not entirely clear why but experts suggest that in the post-lockdown restriction world, the electric mobility vehicles could well be on the sidelines. This is not an irrational estimation actually.
This could be down to the fact that the cheaper prices of gasoline may warrant a higher demand for normal cars. Stemming from this reason, one may not readily be keen to look for EVs that often stand at a higher price pedestal.
Moreover, the struggling worldwide economy may not really offer a lot of intellectual and financial readiness to make one opt for unconventional if feasible modes of private car ownership, such as the EVs.
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Take the US, for example, where the Bloomberg Quint was of the opinion that the demand for long-haul recreation vehicles is slated to pick up in the region. The CEO of RV share made a candid confession, “We saw an almost overnight doubling of bookings.”
This he said was in reference to the long-haul and recreation vehicles that are meant for purposes like holiday and road-trips.
Nonetheless, these are interesting times to be in the car business if at all, the bad days are behind us.