Opportunities on road ahead as car industry steers to the future

The global automobile industry is entering a period of change and innovation, driven by greener policies and tech advances, with two US events in recent days highlighting just how consumer habits are evolving.
The global automobile industry is entering a period of change and innovation, driven by greener policies and tech advances, with two US events in recent days highlighting just how consumer habits are evolving. In California, authorities banned the sale of petrol-powered vehicles beyond 2035. And in Arizona, a giant coin-operated vending machine that dispenses cars opened for business. The Golden State is the world’s fifth-largest economy behind Germany and an important global trendsetter, so its decision to pull the plug on the combustion engine is expected to further turbocharge the already rapidly growing electric vehicle market. In 2012, just 120,000 electric vehicles were sold worldwide. Today that number is sold every week, and the US has set itself a goal of making half of all new passenger vehicle sales battery-powered by 2030. Meanwhile, the opening of a new eight-storey ‘car vending machine’ highlights another rapidly accelerating car industry trend – customers receive a commemorative coin to activate the automated vending process, but they are in fact collecting vehicles they have purchased online. While some buyers might still brake at the thought of buying a vehicle without first sitting in it, online car sales have now hit the fast lane worldwide and are forecast to exceed $US500 billion within five years. Customers can browse huge inventories from the comfort of their couches and then arrange finance, insurance and delivery or pick-up in minutes, with some dealers offering returns policies of up to seven days to ease that nagging fear of buying a lemon unseen. This step into the future, into how customers are buying cars, has seen a number of innovative companies ride the wave of change sweeping the market.
Sources:

This Week’s News

News

31st May 2024

Top geo backed by leading resources funds believes he has discovered a potential new gold-copper district

News

8th May 2024

BHP Xplor winner coming to the ASX

News

4th May 2024

AI Industrial Revolution: Aussie company unlocking AI for multinationals

General Advice Warning

Any advice provided by Reach Markets including on its website and by its representatives is general advice only and does not consider your objectives, financial situation or needs, and you should consider whether it is appropriate for you. This might mean that you need to seek personal advice from a representative authorised to provide personal advice. If you are thinking about acquiring a financial product, you should consider our Financial Services Guide (FSG)

including the Privacy Statement and any relevant Product Disclosure Statement or Prospectus (if one is available) to understand the features, risks and returns associated with the investment.

Please click here to read our full warning.