Easier Said Than Done: Restarting the Automotive Industry

As the global health crisis pivots toward becoming an economic one, the automotive industry is understandably eager to know when it can begin producing cars again. The situation isn’t going to be as easy as throwing open a few breaker boxes and giving the thumbs up. A mile-long list of problems, many of which lack easy answers, will first have to be tackled before things return to normal.

Supply chains will be slow to move — and potentially severed — as other nations wait longer to walk back social distancing measures. Not all factories will resume operation at the same time, and not all parts suppliers or shipping agencies will have made it through the coronavirus pandemic intact. It’s also uncertain how quickly customers will return to the market. In tougher financial times, customers may remain hesitant in making large purchases; meanwhile, localized quarantines will undoubtedly continue suppressing sales in certain markets. Then we have the elephant in the room — the vast amount of money this colossal reboot is going to require.

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  • Jalop1991 There is no inflation. Everything is cheaper than it was 5 years ago. SHRIMP AND GRITS!
  • ChristianWimmer Exterior and interior look pretty flawless for such a high mileage car. To me this is an indication that it was well-maintained and driven responsibly. It’s not my cup of tea but it’s bound to find an enthusiastic owner out there.And with ANY car, always budget for maintenance.
  • Fred I'm a fan and watch every race. I've missed a few of the live races, but ESPN repeats them during more reasonable hours.
  • Mikesixes It has potential benefits, but it has potential risks, too. It has inevitable costs, both in the price of the car and in future maintenance. Cars with ABS and airbags have cost me at least 2000 bucks in repairs, and have never saved me from any accidents. I'd rather these features were optional, and let the insurance companies figure out whether they do any good or not, and adjust their rates accordingly.
  • Daniel Bridger Bidenomics working.