This article was published by S&P Global Mobility and not by S&P Global Ratings, which is an individually managed department of S&P Global.
Ongoing financial headwinds mean no news could be good news
concerning auto demand levelsWith volume for the month predicted at 1.122 million units,
November U.S. car sales are approximated to equate to an estimated
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 reflect a decrease from Octobers.
14.9 million-unit pace, according to S&P Global Mobility.
analysis.The daily selling rate metric in November (roughly 44-45K.
each day) would be in-line with levels considering that September. Translation:.
From a non-seasonally adjusted volume perspective, auto sales.
continue to plug along at a constant rate.” Sales should continue to improve, offered the expected continual,.
but moderate, improvement in general production and inventory levels,”.
said Chris Hopson, principal expert at S&P Global Mobility.
” However, we likewise continue to monitor for signals of.
faster-than-expected growth in inventory. Presently, there are no.
clear indications; stocks have actually advanced as anticipated. But any.
indication of faster than predicted development in the overall stock of.
brand-new automobiles might indicate that car customers are feeling the.
pressure of the existing economic headwinds and pulling back from the.
market.” As an outcome, Octobers SAAR boost is likely to be an anomaly.
compared to the rest of the year, Hopson stated, adding that.
there are expectations of volatility in the month-to-month results.
starting in early 2023. Market share of battery-electric cars is expected to reach.
5.9% in November. However, beyond the big seaside 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 US are all in coastal states and.
represent 50.5% of overall EV registrations so far in 2022 (through.
August). The higher Los Angeles and San Francisco urban.
areas alone account for almost one-third of total share of the US.
EV market. The Heartland states market share of EV sales.
is hardly half of what they add to overall automobile.
registrations.” BEV market share control on the 2 coasts is attributed 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 conventional BEV purchaser.
than the middle-American profile.” But Libby sees potential for EV acceptance in leading heartland.
markets: “More approval and much more comprehensive customer awareness is.
resulting in a natural progression of adoption from the coasts to.
the Heartland.” (For more on this analysis of EVs in the Heartland,.
this special report.) Supporting the EV development, item exposes surrounding the.
Los Angeles Auto Show recently continue to reflect the OEM.
focus.According to Stephanie Brinley, associate director of.
AutoIntelligence at S&P Global Mobility, “As car shows at.
their finest highlight what individuals will be driving in coming years,.
the exposes during the Los Angeles Auto Show show the continuing.
push towards electrical and electrified automobiles.” Of note, Fiat announced it will bring a variation of the European.
500 EV to the U.S. beginning in early 2024, reviving the 500e.
nameplate. Toyotas reveal of the 2023 Prius hybrid consisted of a.
Prime cut that will double the hatchbacks EV-only range, while.
the automaker likewise revealed a making of the bZ (” Beyond Zero”).
electric-vehicle concept, previewing a forthcoming compact SUV.
Vietnamese entrant VinFast showed U.S.-trim versions of.
two EV crossover additions to its lineup – bringing its capacity.
US offerings to four.