The patient has just been declared dead, as they pull the sheet over the body. Yes, the car industry has no heart beat. Sales have stalled in the U.S. with GM leading the pack. Sales are down over 38% for GM and they are considering closing 6 production car lines according to a recent report by Wolf Street on July 20,2017.
GM is not alone. Sales are down by almost all car manufacturers. Truck, SUV and cross overs sales are doing slightly better, but not by much. Chrysler/Fiat makes no cars in the U.S.A. anymore, just trucks and Jeeps. Rental car companies are the largest purchasers of automobiles but they are in deep trouble as well. They have a glut in there inventory and are reducing their new automobile orders. Why? Well, ride sharing and services like Uber, are cutting into their business big time. We are also seeing a rise in E-Bikes.
The advancements in electric bicycles is spectacular. These E-Bikes can travel up to 60+ miles on a charge and travel up to speeds of 40+ mph. This is now becoming the #1 choice for city dwellers. Just think, no drivers license needed, no insurance, no license plates, no gas, virtually no maintenance, no parking fees etc. In many cases (weather permitting) E-Bike users can get to work faster than by using the automobile.
I think we are seeing a paradigm shift in the population. The Millennial and Z generations are driving less and see no need for owning cars. This trend goes beyond just the U.S. The transportation industry will need to change with this trend and provide personal transportation devices that fit the needs of the newer generations. It looks like the new markets will lean towards electric smart pods such as scooters, bicycles, hover boards etc.
Maybe we are heading towards a "Back to the Future" type society. Perhaps, I should get my Delorean now. LOL
It's one other thing. People are keeping their old cars today and making their interior like new. Mine is 18y old, working like new. And new cars are not worth of their price, because in just 2-3 years time, almost every car loses 30% of the price
You are 100% correct. I have 2 cars and 2 trucks. They are all between 12 and 25 years old. They have 200,000 to 370,000 miles on them and run and look like new. I agree. I refuse to have new car payments. Thank you for your reply
Also, more and more jobs can be done remotely, completely eliminating the need to commute. I'm hopeful this trend continues.
Yes. I have met so many people who work 2 to 3 days in an office but the rest of the time from their home
Totally agree I upvoted your article!
Thank You
Great post. I don't own a car newer than 2005 and will never buy a brand new car. I can't see making the switch to e-bikes in our area with distances and weather, but I will always be as slow to replace my existing cars as I can.
I agree with you. I will not own anything newer than a 2005. I am afraid of the newer cars being able to be remote controlled (the steering and acceleration). Plus I refuse to have any car payments