Big Three Automakers Rebound After Turbulent 2023

Via Metal Miner While the index remained sideways for most of 2023, the automotive industry itself witnessed its fair share of shifts. For instance, the UAW strike forced numerous changes on the automotive industry while impacting automobile sales and production to varying degrees. Meanwhile, steel price hikes also caused the overall index to fluctuate and shift.

All in all, the U.S. automotive industry witnessed numerous obstacles throughout 2023. By the end of the year, the Automotive MMI (Monthly Metals Index) rose 3.33%. if(window.innerWidthADVERTISEMENTfreestar.config.enabled_slots.push({ placementName: "oilprice_medrec_atf", slotId: "oilprice_medrec_atf" });';document.write(write_html);} Significant transformations transpired within the U.S.

automotive sector in 2023. New automobile sales hit approximately 15.5 million units, marking an 11.6% surge over the previous year. This increase resulted from various factors, including amplified incentives, augmented supply levels, and heightened delivery rates . Among the prominent manufacturers, General Motors maintained its position as the automobile sales leader, while Hyundai Motor Group surpassed Stellantis’ sales figures.

On the other hand, Honda witnessed the most substantial year over year sales growth . However, the outlook for 2024 anticipates a return to the old “normal” in the market. Moreover, analysts project that 2024 will witness slower economic growth, a surplus of new vehicles in inventory, and an end to the seller’s market .

Cox Automotive expects 2024 to offer the most favorable conditions for automotive consumers since the pandemic. Anticipated trends include a marginal increase of less than 2% in new car sales and a less than 1% expansion in the used car market. Furthermore, the forecast suggests a resurgence of equilibrium within the automobile sector , affording consumers a wider array of choices, improved discounts, and enhanced accessibility to online shopping options.

Cox Automotive also predicts that the chip shortage, which significantly impacted the market over the past few years, will ease in 2024. This will lead to an augmentation in vehicle supply and a subsequent price decline . Either way, the U.S. automobile market remains poised for transformation in 2024, shifting towards a more stable and balanced environment.

This shift will provide enhanced opportunities for both industry participants and consumers, notwithstanding the challenges that could arise. if(window.innerWidth ADVERTISEMENTfreestar.config.enabled_slots.push({ placementName: "oilprice_medrec_btf", slotId: "oilprice_medrec_btf" });`; document.write(write_html); } The UAW strike drastically changed the dynamics of the U.S.

automotive market in 2023, especially for Detroit’s “Big Three.” So, how exactly did the Big Three end the year? By Jennifer Kary ADVERTISEMENT More Top Reads From Oilprice.com:.