The collapse of the automotive market due to the economic crisis and the closure of property registries, as a measure to combat the Covid-19 pandemic, led to the stocks Accumulated new unsold vehicles will double in as little as 40 days.
According to data published yesterday by the Association of Automotive Dealers of the Argentine Republic (Acara), there are 97,847 units of zero kilometers unplaced, equivalent to 6.2 months of sales over an annual level of patents that, as a result of the sudden drop of the market, adjusted to a projection of 220 thousand units, the lowest figure since 2003.
On March 19, the day before mandatory isolation began to take effect, Acara had reported 91,272 motor vehicles awaiting commercialization. At that time, with a level of monthly sales that was not yet foreseen as low, it was equivalent to 3.1 months of patents.
“The stock average exceeds six months. There are brands with enough accumulated for the whole year ”, synthesized Acara.
An example of the latter are Chevrolet and Mercedes Benz, which have a stock equivalent to almost eight months of sales. In the case of the first, if it did not produce in Rosario or import any more units from here until the end of the year, it would only lack 210 units to complete the patents projected in 2020. The German firm, just 45.
Other companies, like Chery or Honda, have stock for 11 months, which means that they can not only end the year with the accumulated units, but also start the first months of 2021 without importing one more.
Under this scenario, an important fact for Córdoba is that Fiat and Renault, with plants in the Ferreyra and Santa Isabel neighborhoods, appear among the brands that are below the national average.
The Italian automaker, according to Acara, closed April with 9,270 units, which means 5.3 months of sales. At the end of March, meanwhile, it accumulated 8,729, which was equivalent to 2.7 months.
This panorama does not change too much the plans that he had already been planning during the quarantine, according to company sources.
Last April 24, the CEO of Fiat Chrysler Argentina (FCA), Martín Zuppi, anticipated that the work rate was adjusted from an initial forecast of 45,000 units throughout the year to 30,000.
In the commercial area, FCA’s commitment is to increase its market share from the 12.4 percent obtained in 2019 to 15 percent, through a fixed-rate financing facility in pesos with a six-year term.
In the case of Renault, it is the one that least stock Relative owns: 8,845 vehicles that would be finished over 4.3 months. Before quarantine, there were 8,701 (2.3 months). The French automaker also puts the chips to grow in Compartir.
“In May we launched bonuses and strong financing. Obviously we are going to try to gain market, like all, beyond the stock”, Indicated from the signature.
Nissan, which since late 2018 has been manufacturing trucks in Santa Isabel, has a stock relative similar to that of Fiat: equivalent to 5.4 months of patents, double that of a month and a half ago.
Finally, Iveco is the one that shows the most worrying panorama among all the brands: in mid-March it had enough balance for a full year of sales. Now, it has 2,405 units in stock with which it could cover almost 22 months of commercialization.
The Italian firm, with a manufacturing plant in Ferreyra, will have “more than 1,525” trucks and utility vehicles in 2020, with which it would also cover its sales in 2021 and would have a balance for the first two months of 2022, according to the latest theoretical projection.
Fiat and Peugeot: The merger does not stop
The groups PSA (Peugeot and Citroën) and Fiat Chrysler Automobiles (FCA) ratified the decision to merge around the world between the end of this year and the beginning of 2021. “Despite this unprecedented (pandemic) situation, FCA and the PSA group are committed to carrying out the merger of equals to create a world leader in the mobility sector, “FCA said in the statement detailing losses in the first quarter.
The original text of this article was published on 05/06/2020 in our printed edition.