As the COVID-19 pandemic continues to change daily life, many consumers are asking if the German car industry will be lowering prices due to the crisis. US and European auto manufacturers have already enacted temporary shutdowns. Manufacturing plants are taking extreme measures to reduce the spread of the Coronavirus. Many experts predict that these changes and measures may eventually impact the prices charged for German automobiles. Read on to learn if German car companies going to be dropping prices during COVID-19.
Current Sales Predictions
In order to analyze the future prices of German automobiles, it is first essential to analyze the market’s current sales predictions. During their first quarter, German manufacturers like Porsche, Volkswagen, BMW, and Audi have experienced sales reductions ranging from 13% to 20%. At the same time, many showrooms and auto dealer groups remain closed across the United States and Europe. Despite this, many manufacturers have experienced increases in the sales of some models. Many companies, like Volkswagen, have experienced sales increases on specific models by over 400%. In analyzing the future prices of German automobiles, it is beneficial to first consider current sales predictions.
Expanding Vehicle Warranties
Even as car sales experience significant changes due to the outbreak of the Coronavirus pandemic, there are dozens of expanding vehicle warranty offerings. Many reputable warranty providers have even begun offering extended BMW warranties to help consumers make it through the pandemic financially. There are many reputable providers offering a BMW extended warranty quote during this time. Without extended warranty coverage, BMW repairs can become extremely costly. Extended warranty providers allow you to start coverage with over 100,000 miles on your vehicle. Once purchased, your warranty can cover your vehicle without mileage limits until it reaches 185,000 miles. Even better, extended warranties are offered with manageable monthly payments that can be canceled anytime.
Shortage Of Vehicles
In addition to the Coronavirus pandemic fear, many auto consumers are concerned about a potential shortage of vehicles. Many German manufacturers have already ceased operations or limited productions in response to COVID-19. Manufacturers like BMW, Mercedes, and Volkswagen have already halted operations at many of their showrooms, smart manufacturing factories, and distribution facilities. Despite their immediate and significant response, there is not an expected shortage of vehicles anticipated in the future. In fact, many European manufacturing facilities are expected to ramp up their current level of operations in the approaching weeks. In analyzing the expected price of German engineered vehicles, it is integral to analyze the potential shortage of vehicles.
Car Loan Interest Rates
Car loan interest rates are greatly impacting the cost to purchase and own German engineered vehicles. The US Federal Reserve has been taking consistent measures to encourage lending, stabilize the economy, and boost customer spending. The measures passed are expected to lower car interest rates, and increase the accessibility of auto loans across the country. Even with limited changes in the ticket price of German cars, lower interest rates certainly help to offset purchase costs. In analyzing the impact of the global pandemic on the German automobile market, it is integral to consider car loan interest rates.
Safety Of Purchase
In the midst of the global pandemic, many auto consumers are still fearful to purchase new vehicles. Many consumers fear that prices may fall to lower rates or rise significantly due to pandemic related threats. However, one of the largest ongoing concerns, it the safety of purchasing a car during the Coronavirus. Luckily, there are still an abundance of options to remain safe throughout your vehicle purchase. First, you should contact any auto dealership and ask about the Coronavirus precautions they are taking. If you test drive a vehicle, be sure to disinfect the touch points of cars you drive. Finally, be sure not to shake on the deal to avoid all potential contact. As long as you take the proper precautions, it is still incredibly feasible to find affordable, safe deals on even high-quality German-engineered automobiles.
With the outbreak of COVID-19, many auto consumers are wondering how the pandemic will impact the price of German vehicles. In order to accurately estimate the impact on cost, it is essential to first analyze auto manufacturer’s current sales predictions. At the same time, you need to explore the market for vehicle additions, like extended warranties. Consider the Coronavirus’s impact on the interest rates of your vehicle purchase. Moreover, you need to concern yourself with the safety of your vehicle purchase itself. Furthermore, be sure to remove any fearful concerns like a potential shortage of vehicles from influencing your purchase decision. Considering these points above, we can expect German Car companies to be dropping prices during COVID-19 and in the near future.