HOT WIRE: EV/Hybrid Segment Thriving Despite Weakness in Automotive Industry
EV/Hybrid Segment Thriving Despite Weakness in Automotive Industry
Although consumer spending increased in recent years, lifting activity in much of the retail sector, activity in the automotive industry has been relatively flat recently. US light vehicle retail sales during the 12-months through March totaled 17.1 million units, up just 0.1% from the same period one year ago. Longer-lasting vehicles and ride-sharing services such as Uber and Lyft are allowing consumers to delay or altogether forego purchasing new automobiles. While this may be good news for consumers, it is bad news for manufacturers. US total retail sales recently transitioned to slowing growth, which is an ominous sign for the already lackluster automotive industry.
Despite weakness in the automotive industry, the alternative fuel vehicle segment is thriving. Retail sales of fuel cell, electric, and hybrid vehicles are up 23.5% year-over-year and growth is accelerating. Improved batteries are giving electric cars longer driving ranges, increasing their viability as an option for consumers and new models are giving consumers options across multiple price points.... [read more]
Also in this Issue
- US Joins the Rest of the World in a Slowing Growth Trend
- Japan Industrial Production
- Global Economic Outlook
- ...and more!