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Global auto sales are slowing faster than carmakers can reinvent themselves

By Axios

Their new investments will take years to pay offRead full story

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  • Matt Walters
    Matt WaltersFounding Partner at MissionLab Inc

    The decline of the auto industry has been happening for years and OEMs have seen it coming. Countless consultants have forecasted the end of private vehicle ownership, and while hard to believe at first, auto OEMs now have religion. The problem is there’s not an obvious answer for what they should do next. Companies like Ford have been trying to transform themselves into mobility companies, but as the article points out, this new reality is not as profitable as the old one, at least not for now

    The decline of the auto industry has been happening for years and OEMs have seen it coming. Countless consultants have forecasted the end of private vehicle ownership, and while hard to believe at first, auto OEMs now have religion. The problem is there’s not an obvious answer for what they should do next. Companies like Ford have been trying to transform themselves into mobility companies, but as the article points out, this new reality is not as profitable as the old one, at least not for now. And it may not ever be. So the question is, what should they do?

  • Weiyee IN
    Weiyee INChief Strategy Officer

    The key issue is actually going to remain the slowdown in China. If automakers cannot weather out the consumer demand issues, then the market goes into a replacement cycle that is going to be even more difficult on major vendors. No matter what tariffs or bans are imposed there is nothing that replaces consumer demand and that is something that we can not negotiate through a trade deal.

  • Year over year US new car sales are down 1.8%. Relax.

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