governments in order to curb the outbreak of coronavirus been taken to limit citizen action and turn off all unnecessary business with car dealers across Europe is closing stores.
However, in most cases, to maintain public safety and road vehicles of critical services, such as maintenance and parts sales and repair operations will be allowed to continue.
The European Union CECRA dealers responsible for BernardLycke said, “will close a major impact on the profitability of our members, this is a huge challenge for us, because they are small independent companies. But first they must respect their government’s actions and health measures. “
industry sources said the Italian market demand for new cars has begun to shrink.
In the first two weeks of March, the Italian new car registrations compared to the same period in 2019 fell by a third, even less than 27,000 vehicles, and the rate of decline is still gradually accelerated, the first weekly decline nearly 15 percent, the second week of nearly 50%.
March 13, the registration of new passenger cars or even less than 500, and in February compared to the same time reduced by 90%.
It is understood that in February by a new coronavirus pneumonia virus affecting China’s largest auto market with sales in 2019 declined by 80% compared to. Therefore, the Italian dealers do not recover as quickly as possible sales activities, the amount registered in Italy in March could fall 85%.
as a central European outbreak, the Italian dealers first to be affected, the country’s largest dealer group, Autotorino last week announced it would close the exhibition hall, this is the first time the company was founded 55 years.
Italian car dealers Union Federauto, France Automotive Service Association CNPA, Belgium Dealers Association, Traxio dealers are recommended to follow government guidelines only allow for repairs, maintenance and related activities, such as parts sales.
and require dealers to limit members face to face contact with customers, to comply with sanitary norms and promote the network “cloud” in sales where possible.
However, in the UK, business has not been anylimit. Chief executive of Britain’s fifth-largest dealer group VertuMotors Robert middot; Forrester (RobertForrester) said last week that all the stores will be opened normally.
In this regard, the fund management company Fidentiis analyst Mark middot; Opa Parry (MarcoOpipari) said, “Compared with the dealer stores closed, automobile manufacturers may suffer more due to lack of demand loss, and manufacturers and distributors usually have at least two months of inventory, so the excess supply in the European automotive industry, the line store closed a few weeks is not a big problem, then you can make up for lost production. “[123 ]
Therefore, the United Kingdom for the epidemic situation too lightly, not thoroughly understand the current automotive market real problem is that consumers demand, is not conducive to the opening of the line dealers epidemic prevention and control, too much interpersonal communication, will lead to further expansion of the epidemic, this is a real impact on car manufacturers and dealers of the worst revenue situation.