Car prices are plunging in the US because of coronavirus
US car sales fell sharply in March, the latest blow to the nation's economy from the coronavirus outbreak.
Fiat Chrysler (FCAU) announced Wednesday that its first-quarter sales in the United States fell by 10% even though sales were up the first two months of the quarter.
"Strong momentum in January and February was more than offset by the negative economic impact of the coronavirus in March," said the company.
General Motors (GM) reported a 7% drop in sales for the quarter, which it attributed to the sharp decline in March sales because of the virus outbreak.
ButToyota(TM)reported results for both March and the quarter. Its daily sales pace plunged 32% in March, while its overall sales in the month fell 37%, hurt in addition by one fewer sales day in the month. Overall, its first-quarter sales fell 9%, similar to the declines reported at Ford and GM. So it's possible that Ford and GM suffered a similar decline in March to what Toyota reported.
Numerous factors are working against car sales. Top among those factors is that more than three-quarters of Americans live in states or cities where they are being told to stay at home except for essentials such as shopping for food, drugs or seeking medical care.