Uncertainty in Automotive Market for 2019

摘要

It's not clear yet how trade tensions and interest rates will affect stagnant vehicle sales.If trade tensions escalate and interest rates increase throughout 2019,the automotive industry may find it harder than expected to expand.During 2018,the auto industry tracked along the same trajectory as the prior year.Unit sales data for 2018 showed growing prefer- ence for SUVs and light trucks over cars.This trend is not new: Unit car sales peaked in June 2014 and have seen an average 7.5% annualized contraction in the 17 quarters since then.Truck and SUV sales continue to offset the weakness in car sales,keeping total vehicle sales since mid-2015 at a monthly average of 1.4 million units,or 17.3 million on an annual basis.Looking forward to 2019,several factors,such as interest rates and tariffs,will have significant near-term effects on the automotive market.