CBT automotive newscast: January 6, 2022

Featured Show:

Will the upcoming tax season make or break used car sales?
Welcome to this week’s episode of Used Cars Weekly, the original CBT News show dedicated to bringing car dealers best practices and tips for the used car department, in-depth dealer interviews, hands-on dealership strategies, as well as vendor analysis. Today, host Jasen Rice, founder of Lotpop, discusses what the upcoming tax season likely has in store for the used car market in 2022. Watch the complete segment here.

Headlines:

Ford Motor Company has released its 2021 U.S. Sales and posted a 6.8% drop overall. The automaker sold roughly 1.9 million vehicles last year coming in behind Toyota and General Motors. Honda came in with 1.3 million vehicles sold, up 9%t from 2021. Stellantis reported a 2.2% year-over-year fall in sales, on the heels of an announcement to develop vehicles with Amazon software in order to deploy electric vans on the Amazon delivery network. Solidifying Amazon’s foothold in the transportation industry.

In other news from Stellantis, its subsidiary brand, Chrysler, has announced a shift to an all-electric vehicle lineup by 2028. Chrysler brand CEO Christine Feuell said in a statement, “We are completely transforming the portfolio for Chrysler between 2025 and 2028, and beyond.” Last July, Stellantis vowed to invest €30 billion through 2025 devoted to electrifying its entire vehicle lineup.

Daimler has released additional details about its electric concept car, the Vision EQXX from Mercedes-Benz. This luxury EV boasts a charge range of around 621 miles, 117 roof-based solar cells, and sustainable interior materials. In a recent statement, Daimler said, “It is certified bio-based, which means it is made predominantly from renewable ingredients found in nature.” No date yet on when the Vision EQXX will be available to consumers, but the automaker is closely monitoring and restructuring how commodities and supply are secured.

Japanese corporation Sony is firmly planting its foot in the EV space. This Spring, the company plans to launch sony mobility to play a bigger role in commercial auto sales. As one of the world’s largest entertainment technology companies, Sony has an extensive library of advanced technology that will be crucial for innovations in autonomous and electrified driving.

News & Opinion:

Toyota tops General Motors for 2021 total sales in U.S.
For the first time since 1931, General Motors is not the best-selling vehicle brand in the United States. Toyota exceeded all other brands in the US last year for vehicles sold, dethroning an American icon in the process. However, the win will come with an asterisk beside the accolade with unforeseen challenges industry-wide that suppressed sales. Toyota sold 2.3 million vehicles for the calendar year, climbing more than 10% above 2020 figures that were also challenging. On the other hand, General Motors sold 2.2 million vehicles in the U.S., sliding 13% from their 2020 totals. Read more

December auto sales underwhelm due to shuttered supply chain
The U.S. auto sales volume is below 15 million for the second year. Cox Automotive forecasts that December 2021 will have a sluggish showing of 1.10 million new automobile units sold. This number likely contributed to the seasonally adjusted annual rate (SAAR) of 11.4 million, a 30% drop from last year’s 16.3-million-unit pacing. However, GM doesn’t expect to be behind for long. In a recent CNN article, the company suggested that the 2021 semiconductor chip shortage contributed to their diminished sales performance. But, the company feels that a “gradually improving supply chain” should help lead to continued growth as it plans to launch several new vehicles. Read more