Continuous financial headwinds suggest no news might be good news
regarding car demand levelsWith volume for the month forecasted at 1.122 million systems,
November U.S. car sales are estimated to translate to an approximated
sales speed of 14.1 million units (seasonally changed annual rate:
SAAR). This would represent a sustained improvement from the May
through September period but will show a decrease from Octobers.
14.9 million-unit rate, according to S&P Global Mobility.
analysis.The daily selling rate metric in November (roughly 44-45K.
daily) would be in-line with levels considering that September. Translation:.
From a non-seasonally adjusted volume viewpoint, automobile sales.
continue to plug along at a constant speed.” Sales ought to continue to improve, provided the expected sustained,.
however moderate, advancement in total production and stock levels,”.
said Chris Hopson, principal expert at S&P Global Mobility.
” However, we also continue to keep an eye on for signals of.
faster-than-expected growth in inventory. Presently, there are no.
clear signs; stocks have actually advanced as anticipated. Any.
indication of faster than projected development in the total stock of.
brand-new vehicles could mean that vehicle customers are feeling the.
pressure of the existing financial headwinds and pulling back from the.
market.” As an outcome, Octobers SAAR increase is likely to be an anomaly.
compared to the remainder of the year, Hopson said, including that.
there are expectations of volatility in the month-to-month results.
starting in early 2023. Market share of battery-electric automobiles is anticipated to reach.
5.9% in November. Nevertheless, beyond the large coastal cities,.
retail registrations of EVs have yet to take hold, according to.
analysis from S&P Global Mobility.The top-eight EV markets in the United States are all in coastal states and.
represent 50.5% of overall EV registrations up until now in 2022 (through.
August). The higher Los Angeles and San Francisco metropolitan.
areas alone represent nearly one-third of overall share of the US.
EV market. On the other hand the Heartland states market share of EV sales.
is barely half of what they contribute to overall car.
registrations.” BEV market share control on the 2 coasts is credited to.
their greater mix of early adopters compared to purchasers in middle.
America,” said Tom Libby, associate director of Loyalty Solutions.
and Industry Analysis at S&P Global Mobility. “Their.
demographic profile is more in sync with the traditional BEV buyer.
than the middle-American profile.” But Libby sees possible for EV approval in leading heartland.
markets: “More acceptance and much broader consumer awareness is.
resulting in a natural development of adoption from the coasts to.
the Heartland.” (For more on this analysis of EVs in the Heartland,.
this special report.) Supporting the EV improvement, product exposes surrounding the.
Los Angeles Auto Show last week continue to reflect the OEM.
focus.According to Stephanie Brinley, associate director of.
AutoIntelligence at S&P Global Mobility, “As car programs at.
their best emphasize what individuals will be driving in coming years,.
the exposes during the Los Angeles Auto Show show the continuing.
push towards electrical and amazed vehicles.” Of note, Fiat revealed it will bring a version of the European.
500 EV to the U.S. starting in early 2024, reviving the 500e.
nameplate. Toyotas expose of the 2023 Prius hybrid consisted of a.
Prime trim that will double the hatchbacks EV-only variety, while.
the car manufacturer also showed a making of the bZ (” Beyond Zero”).
electric-vehicle principle, previewing an upcoming compact SUV.
Vietnamese entrant VinFast showed U.S.-trim versions of.
2 EV crossover additions to its lineup – bringing its potential.
US offerings to 4.
This post was released by S&P Global Mobility and not by S&P Global Ratings, which is a separately handled division of S&P Global.