Car sales in the United States are slowly starting to pick up again. But this means another problem for manufacturers and suppliers as factories remain closed with no specific date set for reopening.
According to a report from Automotive News, dealer inventory for pickup trucks in some areas is now down to a 30-day supply. It’s not surprising if demand for America’s favorite vehicle begins to rise in the coming weeks as some states start easing their quarantine and shelter-in-place orders.
Some, however, fear that the available trucks won’t be enough to satisfy demand. Leading truck makers in America—Ford, General Motors, and FCA—have still not finalized plans on the resumption of production in their facilities. And even if they restart operations again, it could take a while to roll out new vehicles.
Another reason for the steadily decreasing supply of pickup trucks is the tempting financing offers from various dealers and companies in an effort to attract people into buying cars amid the dwindling economy.
Based on data from J.D. Power, light-duty truck inventory is also expected to slide to 400,000 by the end of May and plunge to 260,000 by June. This is a significant decrease from the more than 700,000 truck inventory in May and June last year.
Among the biggest companies, General Motors is suffering more due to the 40-day strike by members of the United Auto Workers union that hampered the production last year. Despite the thinning supply, experts are viewing it as a sign that the industry is starting to recover from low car sales in the last two months.
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