Retail is sold and free shipping is paid for in the US car market


Eight Chevrolet Silverados had been sold before the arrival of Katie Coleman’s car sale this month. The other two went missing a few hours later.

This is how cars sell because the lack of a chip still applies to cars. Coleman’s 90-day survey dropped to less than two. Its retail store, Bowman Chevrolet outside Detroit, has also sold a number of “rental” cars that had already been rented to customers whose cars were being repaired.

“We wish we could ride a bike,” Coleman laughed, “to sell [our own] cars. ”

The semiconductor shortage that has disrupted automotive machinery around the world affects every player in the industries that supply, build, sell and dispose of cars and vehicles in the US, a country with 276m vehicles. Even useless yards also struggle to achieve their maximum.

The sting stems from a slight decline in semiconductors made by car manufacturers last year, as the need for vehicles to temporarily halt the epidemic. Assets persist when a fire destroys a Renesas electronics Japanese manufacturing plant. In summer, production in Vietnam and Malaysia was hit by government-imposed laws that were supposed to regulate the Delta coronavirus.

Katie Coleman, President of Bowman Chevrolet, described the car market as ‘Thanksgiving-dinner-when-you-unbutton-your-pants tight’ © JFM Photo

When consumers returned to the sellers faster than expected, watchmakers found themselves waiting for a series of low-end metals on the back of other customers, from electronics manufacturers to electronics manufacturers. Car manufacturers including Ford and General Motors have been forced to do so inactive industries and change.

Manufacturers routinely avoid buying chips from semiconductor manufacturers, but it looks like they’re set to change. GM chief executive Mary Barra said Wednesday that in the future the company could enter into a “partnership agreement” or a deal with vendors, or simply sign long-term agreements, to secure permanent chips. “We’re reviewing it, and having a direct relationship with tier-2, -3 and -4 vendors,” he said.

The Bowman Chevrolet usually sells about 5,000 new cars and 1,200 are used annually, Michigan retailers said. This year the total volume has been more than half.

Dealers are encouraged to order in advance. However some customers were unaware of the lack of running the business, Coleman said. Several car rental carriers have arrived at the final day sale, hoping to select a new car. Meanwhile, banks are increasing lending.

Coleman said he continues to respect the reduction of the employee and the seller and, unlike some competitors, refuses to sell at the price of the manufacturer. But there are no other discounts for customers these days.

“There are some lessons we can learn from hard reading,” Coleman said. “But not so hard. This is like a thank-you meal — when you fix your pants — sweat hard. ”The empty space was scattered around the Bowman Chevrolet on a recent trip.

The scarcity of retail space has created markets where damaged, damaged and lost cars are sold. Purchasing prices of consumer vehicles was 32% a year in July, government figures show, while new car prices rose more than 7% last year.

“We’re seeing a huge increase,” said John Kett, a senior at IAA, a public real estate company in Illinois that sells cars to retailers including insurance, real estate and car rental. “It all comes down to it.”

Buyers in the IAA market often look for shares or exports. The company receives a huge fine when it sells a car to make more money, and Kett said this year “the cost of each group is rising”.

A line chart of US consumers who pay for more cars and used cars by cars shows a rise in car prices

“We expect that the amount of what we want will be small, but it is really in line with the new cars,” he said. “Once this starts to overflow in the used car market, we hope to someday change our market. But it will be difficult to predict.”

The price of U.S. exports cars has jumped by a third in 2021 to reach the highest annual average, about $ 650m a month, according to the US International Trade Commission.

Prices for used cars have begun to benefit Kyle Weisner, whose family owns an unarmed Victory Auto Wreckers and a towing business in a suburb of Chicago for more than 50 years. Now, when people hold their cars longer, it is about half the volume, and Victory’s crew goes off to pick up the cars.

The business has not been licensed outside the state, Weisner said, but if the car owners “can push it to the state border from Wisconsin to Illinois, we accept it”.

The vehicle is inserted into the car crusher for reset

Many of the older cars are sold in recycled parts and equipment © USA Today Network via Reuters

Victory pays more for old cars because it competes with other low-cost savings companies. However it is becoming more and more of a concern as the remaining remnants have been delayed in receiving more vehicles. Although the price of steel has risen, the price of a shredder per ton of cars has dropped from $ 280 in June to $ 230 this month, Weisner said.

He is skeptical of buying cars because US manufacturers – among the world’s largest metalworkers – are making too few cars because they can’t get chips. “We are buying cars today at the current price to sell for maybe two, three months on the way the market has been falling,” he said.

In addition to the injuries, Victory Auto Wreckers have had two back-up vehicles since May. July came and went infertile, and the sales representative stopped calling Weisner.

“I think we’re going to be like everyone else and keep fixing up” old cars, Weisner said. “We have no right to choose.”



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