HOUSTON, Nov. 5, 2020 /PRNewswire/ -- BBVA Research
published its October auto sales chartbook, noting vehicle sales
have experienced a v-shaped recovery, increasing 36 percent in the
third quarter of 2020 from the previous quarter. However,
sales are still 10 percent below levels observed in 3Q2019.
According to the report, total new vehicle sales are expected to
reach 14.5 million units in 2020, the lowest since 2012. Low
interest rates, extended loan terms, higher personal savings and
solid residential construction have all contributed to the
resiliency of new vehicle sales, as have the rebound in the stock
market and an increasing preference for car ownership.
Some segments do remain subdued, including fleet demand, due to
sluggish airline and tourism-related activities.
Government support has helped consumers repay auto loans,
containing pressures on delinquency rates, though credit standards
have tightened nonetheless. There has also been an increased demand
for used vehicles, which are better supplied than new units due to
pandemic-induced disruptions in new vehicle production, according
to the report.
Sales of electric vehicles have also declined, down 41 percent
year-over-year as a results of COVID-19, reduction in government
incentives and the ongoing conflict between the federal government
and the state of California over
fuel economy standards.
The chartbook, authored by BBVA Research Principal Economist
Marcial Nava, forecasts that sales
could be affected in the long run by changes in consumer behavior
resulting from the pandemic, including people relocating away from
urban areas and the increasing rate of remote work among employees
across the U.S.
Read the full auto sales chartbook here.
See the complete library of BBVA Research publications here.
For more BBVA news visit, www.bbva.com and the U.S.
Newsroom.
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For more financial information about BBVA in the U.S., visit
bbvausa.investorroom.com.
About BBVA
BBVA Group
BBVA (NYSE: BBVA) is a customer-centric global financial services
group founded in 1857. The Group has a strong leadership position
in the Spanish market, is the largest financial institution in
Mexico, it has leading franchises
in South America and the Sunbelt
Region of the United States. It is
also the leading shareholder in Turkey's Garanti BBVA. Its purpose is to bring
the age of opportunities to everyone, based on our customers' real
needs: provide the best solutions, helping them make the best
financial decisions, through an easy and convenient experience. The
institution rests in solid values: Customer comes first, we think
big and we are one team. Its responsible banking model aspires to
achieve a more inclusive and sustainable society.
BBVA USA
In the U.S., BBVA is a Sunbelt-based financial institution that
operates 641 branches, including 330 in Texas, 89 in Alabama, 63 in Arizona, 61 in California, 44 in Florida, 37 in Colorado and 17 in New Mexico. The bank ranks among the top 25
largest U.S. commercial banks based on deposit market share and
ranks among the largest banks in Alabama (2nd), Texas (4th) and Arizona (6th). In the U.S., BBVA has been
recognized as one of the leading small business lenders by the
Small Business Administration (SBA) and ranked 8th nationally in
terms of dollar volume of SBA loans originated in fiscal year
2018.
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SOURCE BBVA USA