Photo by Nabeel Syed on Unsplash
New car sales fell by 48.5% in April compared to the same period last year, as the economic fallout from COVID-19 deepens.
The figures released by the Federal Chamber of Automotive Industries (FCAI) showed a total of 38,926 new car sales in April 2020, compared to 75,550 in April of last year.
This is the largest single decrease of any month since VFACTs figures were first recorded in 1991, and the 25th consecutive month of declining new car sales year-on-year.
Year to date figures for April totalled 272,287 sales, down from 344,088 in 2019, equating to a 20.9% overall decline.
FCAI Chief Executive Tony Weber said the coronavirus had been a massive factor in the dismal figures.
“Clearly, the COVID-19 pandemic has had a major influence on the April sales result, and reflects a downturn in the broader economy right across the country,” Mr Weber said.
“Figures recently released by the Australian Bureau of Statistics show that 31% of Australian citizens have experienced a decrease in income due to the pandemic. In addition 72% of Australian businesses reported that reduced cash flow is expected to have an adverse impact on business over the next two months.
“These conditions inevitably impact consumer confidence and purchase decisions.”
In the market for a new car? The table below features car loans with some of the lowest fixed interest rates on the market.
Lender | Advertised rate | Comparison rate* | Monthly repayment | Interest Type | Vehicle Type | Maximum Vehicle Age | Ongoing Fee | Application Fee | Total Repayment | Early Repayment | Instant Approval | Online Application | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed | New | 4 years | More details | ||||||||||
| FEATUREDGET APPROVED WITHIN 24 HOURS | Car Loan (New and Dealer Used) (< 5 years)
| ||||||||||||
Car Loan (New and Dealer Used) (< 5 years)
| |||||||||||||
| Fixed | New, Used | 99 years | More details | ||||||||||
| FEATUREDAPPLY ONLINE | Car Loan
| ||||||||||||
| Fixed | New | 1 year | More details | ||||||||||
| FEATUREDNo ongoing fees | Plenti Car Loan
| ||||||||||||
Plenti Car Loan
| |||||||||||||
| Fixed | New | 2 years | More details | ||||||||||
| QUICK APPLICATION PROCESS WITH NO FEES | New Vehicle Fast Loan Low Rate
| ||||||||||||
New Vehicle Fast Loan Low Rate
| |||||||||||||
| Fixed | New, Used | 7 years | More details | ||||||||||
| No ongoing fees | Plenti Car Loan (Refinance) | ||||||||||||
| Fixed | New, Used | 7 years | More details | ||||||||||
| NO ONGOING FEESAPPLY ONLINE | Secured Car Loan Fixed
| ||||||||||||
Secured Car Loan Fixed
| |||||||||||||
- Approval in 24 hours
- Balloon options to reduce repayments
- No ongoing fees, no discharge fee
Base criteria: fixed and secured car loans for 'low emission' cars. Data accurate as at 01 September 2020. Rates based on a loan of $30,000 for a five-year loan term. Products sorted by advertised rate. Repayments are calculated based on advertised rates. *The Comparison rate is based on a $30,000 loan over 5 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of January 18, 2022. View disclaimer.
Toyota continued to be Australia's most popular new car brand with 10,325 vehicles sold, followed by Mazda and Kia.
Toyota also boasted the three most popular individual models, with the Toyota Hi-Lux coming in first, followed by the RAV4 and the Landcruiser.
New South Wales led the states in sales volume with 11,938 vehicles sold, followed by Victoria and Queensland.
Mr Weber said when social distancing measures are relaxed and the economic hibernation is lifted, the automotive industry needs help to recover.
"We are calling on Federal and State Governments to consider the automotive industry, which employs over 65,000 people in Australia, when compiling their recovery plans,” he said.
“The JobKeeper and JobSeeker payment programs put in place by the Federal Government are a welcome initiative.
“However, we believe the scope needs to ensure high turnover and low margin businesses, such as new car dealerships, are covered.
“Initially, we would ask that the instant asset write off package is extended to further stimulate business purchasing.”
More to come..
Disclaimers
The entire market was not considered in selecting the above products. Rather, a cut-down portion of the market has been considered. Some providers' products may not be available in all states. To be considered, the product and rate must be clearly published on the product provider's web site. Savings.com.au, yourmortgage.com.au, yourinvestmentpropertymag.com.au, and Performance Drive are part of the Savings Media group. In the interests of full disclosure, the Savings Media Group are associated with the Firstmac Group. To read about how Savings Media Group manages potential conflicts of interest, along with how we get paid, please visit the web site links at the bottom of this page.
Latest Articles
- AMP: A household name offering competitive home loans
- What is debt recycling?
- Conditional vs Unconditional Home Loan Approval
- What is principal place of residence?
- How to navigate the used car market
Latest News
How to navigate the used car market
January 18, 2022
One million new cars sold in 2021 despite year-end whimper
January 06, 2022
Lease a car instead of buying it with a car loan?
January 04, 2022
How to save on fuel this summer
December 23, 2021
How to sell or buy a car with finance owing on it
December 16, 2021
Be Savings smart.
Subscribe for free money newsletters.
By subscribing you agree to the Savings Privacy Policy
