Coronavirus: This car company is offering zero percent interest EMI for 7 years2 min read . Updated: 18 Mar 2020, 05:46 PM IST
With sales dipping as a fallout of coronavirus outbreak, carmakers are looking for innovative ideas to help push these figures up.
- The auto industry, currently facing a bigger challenge from the coronavirus, is already battling unprecedented slowdown globally.
The auto industry has been facing an unprecedented slowdown for the past year or so. Now coronavirus outbreak has put a harder brake on sales of new cars globally. The carmakers are now in a fix on how to go about producing new cars but also how to sell them.
While most are still grappling for answers, General Motors has come up with a unique plan to tackle is dwindling sales in the United States. The company has launched a broad plan to combat the coronavirus impact by offering financing of new cars.
As part of the plan, General Motors is offering zero percent interest loans, deferred payments of upto 120 days on new cars. GM is going to implement this to help brands like Chevrolet, Buick and Cadillac to improve its sales figures.
Other prominent carmaker Ford Motor has unveiled a similar plan to clear inventory. The company is offering option to delay first payment on new car by upto 3 months.
General Motors, the Ford Group and Fiat Chrysler have formed a task force to tackle the coronavirus impact on the auto industry. These companies have asked their workers not to go to their work centers if they can carry out their functions from their homes due to the exacerbation of the coronavirus epidemic.
Last week, GM's president and CEO, Mary Barra, requested in a letter to her employees that from March 16 they work remotely from their homes "to lower the probability of the spread of the coronavirus to colleagues, families and communities" .
"It also helps conserve critical resources such as cleaning equipment, medical personnel and supplies so that they can be used where they are most needed," Barra explained.
The Ford Group also instructed its employees that from this week “we are instructing much of our global workforce, except for those in company-critical roles that cannot be performed from outside, to work remotely until further orders."
Ford explained that the move "will help reduce the risk of the spread of the coronavirus while maximising the health of our company."
The Ford Group, which employs some 190,000 people worldwide, said that "the effect of the coronavirus on Ford employees has so far been very limited."
Fiat Chrysler has also indicated to its employees that they can perform their functions from their homes to work remotely.
In addition, FCA has limited the travel of its employees and the visits of people outside the company.