October 11, 2020 | technology | No Comments
The auto industry has had a rough go of it over the past few years. After a mini-recession resulting from the U.S.-China trade war sent auto sales down 1.4% last year, the COVID-19 pandemic put a big dent in sales this year as people quarantined and couldn’t get to dealerships.
Yet as people continue to avoid public transportation or ride-hailing companies, Americans appear to be turning to owning their own cars again, either used or new. After April auto sales were basically cut in half from pre-COVID February levels, auto sales have experienced a bounceback and have nearly recovered back to pre-COVID levels as of August.
Nevertheless, many automakers still face significant challenges, especially as the world turns to electric vehicles at an accelerating pace. That’s why the best way to play a recovery in autos may not be the automakers themselves, but rather these high-tech suppliers.