Car sales take a hit due to semiconductor shortage, Covid-19 measures

Car sales have dipped in China, the United States and Europe compared to the preceding year's levels due to the ongoing global semiconductor shortage and measures against a surge in Covid-19 cases. According to a report by Reuters, sales of cars in the Chinese market saw a rise in May compared to April, though it was still down by 16 per cent year-on-year, as per the Chinese Passenger Car Association. Data also revealed the overall car sales in China in the first quarter were 0.2 per cent higher compared to 2021.

File photo used for representational purpose. (REUTERS)
File photo used for representational purpose.

Europe, on the other hand, showed sales of new cars have plummeted by 20 per cent. Based on the data by auto consultancy JATO, sales of electric vehicles which automakers are prioritising in the continent also registered a fall of 1.4 per cent. The report mentioned there has been a dip of 15 per cent in the sales of plug-in hybrid EVs since the environmental credentials of these vehicles are currently coming under the scanner of the European regulators. Europe's year-to-date sales have also registered a fall of 13 per cent as per JATO's data. This is the second-lowest level since 1991, added the report.

Also Read : Car sales crash in world's largest automobile market. And why that's a big worry 

In the United States as well, car sales fell by 21 per cent year-on-year based on a study done by Deutsche Bank. This is compared to last year's increase in sales post the lockdown period that led to significant pent-up demand. “We expect sales to recover sequentially further through the year," added the report.

Also Read : Auto loans may get costlier in India. Here's why )

India too registered a slump in the passenger vehicle segment last month by 3.8 per cent. The sales figures stood at 2,51,581 vehicles compared to 2,61, 633 units in the same month last year, shared Society of Indian Automobile Manufacturers (SIAM).

First Published Date: 27 May 2022, 17:47 PM IST
Shopping Bag Shop Now
5% OFF
Godrej aer O – Hanging Car Air Freshener | Car Accessories | Cool Aqua (7.5g)
Rs. 94 Rs. 99
70% OFF
VENO Portable High Power 2 in 1 Car Vacuum Cleaner | USB Rechargeable Wireless Handheld Car Vacuum Cleaner Traveling, Camping Reusable and Sustainable (2 in 1 Vacuum Cleaner)
Rs. 899 Rs. 2,999
2% OFF
Godrej aer O – Hanging Car Air Freshener | Car Accessories | Musk After Smoke (7.5g)
Rs. 97 Rs. 99
SHAYONAM Dent Removal Kit - Powerful Car Dent Repair Kit - Suction Cup Dent Puller Handle Lifter and Dent Repair Puller for Car Body Dent, Glass, Tiles and Mirror (Plastic)
Rs. 349

Please provide your details to get Personalized Offers on

Choose city
+91 | Choose city
Choose city
Choose city
By clicking "View Offers" you Agree to our Terms and Privacy Policy

Dear Name

Please verify your mobile number.

+91 | Choose city
Couldn't verify the OTP.
It's either expired or it's incorrect.