Lack of chips continues to slow down german market for new cars

Shortage of semiconductors makes ready-to-sell new cars a scarce commodity on the german market. For this reason, there are few reasons for dealers and manufacturers to provide additional incentives to buy.

This is the finding of auto expert ferdinand dudenhoffer in the latest discount study by his duisburg car institute. "The german car market is suffering from the semiconductor crisis and new car buyers have to live with long delivery times and higher net prices."

Discounts offered on internet platforms for self-configured new cars declined in july compared to the previous month, the institute reported. The number of car subscriptions on offer, a relatively new form of distribution in which customers rent their car for only a few months, including insurance, was also up.

The share of own registrations to manufacturers or dealers, on the other hand, rose slightly to 26 percent. Dudenhoffer attributes this to strong incentives set by seven importers for their respective trading partners. The vehicles from hyundai, suzuki and nissan, among others, were allowed to be marketed in the coming weeks at so-called house prices. In dudenhoffer’s opinion, better times for prospective buyers of new cars were not likely to dawn for another nine to twelve months.