New vehicle sales last month slumped 9.2 percent to 34,403 units from 37,901 units in April as the market took a hit from a nationwide level 3 COVID-19 alert, data compiled by online market researcher U-Car.com showed.
That represented an annual increase of 2.6 percent.
In the first five months of this year, new vehicle sales expanded at an annual rate of 15.1 percent to 193,879 units, the data showed.
Photo: Hou Cheng-hsu, Taipei Times
The monthly decline came unexpectedly, with automakers expecting an uptrend at the beginning of the year that would stretch into the summer, the researcher said.
“It entirely went against the regular pattern, which should have shown sequential growth,” U-Car said. “That indicates that the pandemic has reversed the growth trend in car sales. This is the biggest crisis the local market has faced since the global financial crisis.”
Data from last month showed that sales of Toyota Motor Corp, Ford Motor Co, Honda Motor Co and Nissan Motor Co-brand vehicles shrank by 10 to 30 percent month-on-month, while sales of imported vehicles were flat or rose slightly from April.
Hotai Motor Co (和泰汽車), which distributes Toyota and Lexus vehicles, sold 7,955 units, slumping 27.09 percent from 10,911 in April, giving it a 23.1 percent market share, from 24.1 percent in April.
Yulon Nissan Motor Co (裕隆日產) had the deepest decline among the top-10 vendors, with sales down 36.1 percent to 1,738 units, compared with 2,720 units in April.
Its market share dipped to 5.1 percent — to No. 7 from No. 2.
Mercedes-Benz Taiwan Ltd’s (台灣賓士) ranking rose to No. 2, with vehicle sales soaring 29.1 percent to 2,707 units, giving it a market share of 7.9 percent.
Ford Lio Ho Motor Co (福特六和) was third with sales shrinking 12.4 percent to 2,139 units, with a market share of 6.2 percent.
Despite the dismal showing, Hotai and Yulon Nissan said they do not plan to cut their yearly sales forecast for the local market, pinning their hopes on a quick easing of the outbreak.
Strong growth in the first four months would hopefully provide a cushion for the local market, they said.
NOT JUSTIFIED: The bank’s governor said there would only be a rate cut if inflation falls below 1.5% and economic conditions deteriorate, which have not been detected The central bank yesterday kept its key interest rates unchanged for a fifth consecutive quarter, aligning with market expectations, while slightly lowering its inflation outlook amid signs of cooling price pressures. The move came after the US Federal Reserve held rates steady overnight, despite pressure from US President Donald Trump to cut borrowing costs. Central bank board members unanimously voted to maintain the discount rate at 2 percent, the secured loan rate at 2.375 percent and the overnight lending rate at 4.25 percent. “We consider the policy decision appropriate, although it suggests tightening leaning after factoring in slackening inflation and stable GDP growth,”
DIVIDED VIEWS: Although the Fed agreed on holding rates steady, some officials see no rate cuts for this year, while 10 policymakers foresee two or more cuts There are a lot of unknowns about the outlook for the economy and interest rates, but US Federal Reserve Chair Jerome Powell signaled at least one thing seems certain: Higher prices are coming. Fed policymakers voted unanimously to hold interest rates steady at a range of 4.25 percent to 4.50 percent for a fourth straight meeting on Wednesday, as they await clarity on whether tariffs would leave a one-time or more lasting mark on inflation. Powell said it is still unclear how much of the bill would fall on the shoulders of consumers, but he expects to learn more about tariffs
Greek tourism student Katerina quit within a month of starting work at a five-star hotel in Halkidiki, one of the country’s top destinations, because she said conditions were so dire. Beyond the bad pay, the 22-year-old said that her working and living conditions were “miserable and unacceptable.” Millions holiday in Greece every year, but its vital tourism industry is finding it harder and harder to recruit Greeks to look after them. “I was asked to work in any department of the hotel where there was a need, from service to cleaning,” said Katerina, a tourism and marketing student, who would
i Gasoline and diesel prices at fuel stations are this week to rise NT$0.1 per liter, as tensions in the Middle East pushed crude oil prices higher last week, CPC Corp, Taiwan (台灣中油) and Formosa Petrochemical Corp (台塑石化) said yesterday. International crude oil prices last week rose for the third consecutive week due to an escalating conflict between Israel and Iran, as the market is concerned that the situation in the Middle East might affect crude oil supply, CPC and Formosa said in separate statements. Front-month Brent crude oil futures — the international oil benchmark — rose 3.75 percent to settle at US$77.01
RSS