AUTOMOTIVE CRISIS AGENDA.
Munich, 25 June 2020 | Topic: Covid-19
THE COVID-19 CRISIS ADDS TO AND INTENSIFIES THE AUTOMOTIVE INDUSTRIES‘ EXISTING STRUCTURAL PROBLEMS.
COVID-19 has caused a global demand shock and has brought personal mobility to a sudden halt. However, even before COVID-19 emerged as a global pandemic, investors already doubted whether traditional OEMs had a sustainable business model. Now, anxious customers and an uncertain economic outlook have made car sales plummet across the globe. As a result, the financial markets’ trust in traditional OEMs’ business model has declined further, while non-traditional players such as Tesla have fared a lot better.