The Auto Industry Is Shrinking As The World Reaches ‘Peak Automobile’ — And It’s Dragging
Most of the modifications occurring within the automotive market immediately, including tightened credit markets in a capital-intensive business and increased authorities involvement are the most recent global challenges. The auto sector represented 20% of 2018’s slowdown in GDP and roughly 30% of the slowdown in world trade, in line with the IMF’s newest World Economic Outlook survey released this month. The declines come as certain markets reach maximum car saturation – additionally deemed “peak automobile” – and headwinds on automotive provide and demand threaten to tug the sector even decrease.
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