Pandemic has already hit the country hard and now its second wave is also reeling out its deadly effects on all the industries. This scary second wave has put the country in lockdown again as this seems the only way to break the chain. While all the sectors and industries are in a state of uncertainty, the automobile industry is no exception.
Even the largest carmaker Maruti Suzuki has stooped its manufacturing units for a while. Many carmakers have turned their plants into medical equipment manufacturing units. Let us discuss the possible future impacts of this pandemic in the automobile industry
Shortage of Semiconductors
The shortage of semiconductors is a global crisis and as modern vehicles are consisting of electronic equipment, their production is a challenge. Electronic hardware needs semiconductors and demand for semiconductors has risen dramatically as people are working from home and need electronic appliances. And as laptops, smartphones, and tablets are a primary requirement, preference is given to the electronic industry. also ready about why cng is better than petrol
So, the shortage of semiconductors has impacted the automobile industry very badly due to which the launch of many new vehicles has been postponed. This is resulting in declining sales of automobiles in India.
Impact on Production
Many major carmakers in India have stopped their production of vehicles and changed their plants into medical equipment manufacturing units and others are closed due to unavoidable conditions and lockdowns. Carmakers are deliberately using their tools and machines to help society from the virus. So, the current situation has delayed and postponed the launch of many major car launches.
Impact on Demand
People are least interested in buying new cars when they are struggling for their lives and this means no automobile sales. Less demand is also one reason that companies are not very interested in producing new units. And this situation is not changing real soon.
Rise of Virtual and Digital Showrooms
The pandemic has a positive impact too as major carmakers have initiated virtual and digital showrooms to reach out to their existing clients. Almost all carmakers are keen to retain their consumers and are willing to provide them the best of customer services thus have set up online help showrooms.
They have figured out a way to cope up with the present scenario of lockdown at many places in India. You can easily book a new car online and this is a good chance that the automobile industry has brought due to this pandemic