Friday, September 20, 2024

Several car brands in crisis – have far too many new cars

A whole range of Stellantis brands could halt production for up to half a year, if not more, new analysis shows.

The American Stellantis brands Chrysler, Dodge, Jeep and Ram have all together built so many cars that have not yet been sold that the car brands could all stop production for half a year.

And that without the dealers all around lobbing tor for cars. In fact, the production peak could possibly be longer than half a year, if that is what Stellantis wants.

This is the conclusion of a new analysis from Cox Automotive .

According to the analysis, the US auto industry has, on average, built enough cars for dealers to go without new supplies for 76 days.

READ ALSO: Germany bans popular car tires from October

With almost all of Stellantis' American brands, there are so many cars in stock at the dealers and around the factories that there is enough for 152 days. Or almost half a year without new cars.

Of the American Stellantis brands, Dodge has by far the most cars that cannot be sold. In general, however, there are currently 2.74 million new cars in the US, for which neither the factories nor their dealers can find new owners. That is 942,000 more cars than just a year ago.

At the complete opposite end, when we talk about stock of cars, there are a number of Japanese brands. Both Toyota, Honda and Lexus only have new cars every few days.

For example, Toyota only has enough cars in stock to cover drivers' needs for 34 days. Here the explanation must be found in the way of thinking the Japanese build cars. Namely to build only the number of cars that are needed right now and here.

But BMW, Chevrolet and Cadillac also have fewer new cars than the national average in the USA.

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