The international rating agency Moody’s expects a drop in car sales in the world by 20% this year.
The previous forecast provided for the reduction of this indicator by 14%, the agency said in a statement.
The statement runs as follows:
Moody's Investors Service has again cut its sales forecast for the global auto manufacturing sector as the severity of the global recession becomes more apparent, according to a new report published today.
The rating agency now expects global auto unit sales to plummet 20% in 2020, widening from its previous projection of a 14% drop, as coronavirus' economic impact worsens.
"Looking ahead, global auto sales growth is likely to rebound 11.5% in 2021, although off a diminished base, on expectations of a 4.8% rise in G-20 GDP growth next year," said Falk Frey, Senior Vice President.
In the near term, demand will continue to crater in Europe with auto unit sales plunging 30% in 2020, worsening from our previous projection of a 21% fall. US auto unit sales will plummet 25% in 2020, widening from our previous projection of a 15% drop.
China is the only major auto market for which we have not changed our 2020 sales forecast. Auto unit sales in China will contract 10% this year amid signs that demand is beginning to return to normal levels following a sharp decline in the first quarter.
