Less consumer confidence
It seems that after a period when demand was barely keeping up, there may now be a time when there is less demand for new cars than manufacturers would like. At least that is now the sentiment in Germany, according to research by Ifo.
The German car industry has become very concerned about the demand for new cars. That message Autonews based on a study by the German Ifo Institut. The confidence barometer of the local car industry has dropped more than half in a month and according to the researchers at Ifo this has to do with the attitude of customers. After all, inflation and high energy prices have hurt the stock markets of many potential car buyers and there is still uncertainty about what is to come. “Automakers now see their position drastically worse than a month ago,” said Ifo CEO.
Many car manufacturers, including in Germany, are still catching up on production because of the chip shortage that has played a part in the past few years. For the time being, a little room in the order book is welcome in that sense, but manufacturers naturally prefer to see that there is almost endless demand. That is definitely not the case. According to Ifo, fewer automakers will expand production capacity in the coming months due to demand uncertainty.
– Thanks for information from Autoweek.nl