thejapannews– DETROIT, Michigan: Auto manufacturers in the United States highlighted a steep quarterly sales hike on the back of high demand for sport utility vehicles (SUVs) on July 1, while signaling a continuance of this trend well into the next year on account of increasingly larger numbers of the public opting for private transport, along with a novel slew of electric vehicles due to be unveiled.
Also, interest rates being kept lower, coupled with governmental stimuli, have collectively driven the demand for autos, despite a price hike due to the worldwide shortage of semiconductor chips.
Automobile manufacturers are reaping profits as a result of increased vehicle prices. Additionally, automakers have invested more into manufacturing electric vehicles.
The second quarter turned out to be quite lucrative for General Motors, as deliveries of its Chevrolet Bolt EV hit the highest-ever figure for the period, with sales rising 31 percent, while GM’s Buick premium SUV sales saw an 86-percent increase.
“We expect continued high demand in the second half of this year and into 2022,” chief economist of General Motors Elaine Buckberg noted.
In June, GM stepped up its budgeting for electric vehicles to $35 billion through 2025.
Additionally, Japan’s Toyota highlighted that alternative-fuel vehicles constituted almost one-fourth of the number of units it sold up to June 2021, rising from 13 percent one year earlier.
The company’s total sales in the United States increased by some 73 percent to reach 688,813 vehicles during Q2.
“There need to be more models beyond Tesla … next year, the (Ford) F-150 Lightning should help move the needle upward,” David Whiston, an analyst at Morningstar, stated.
An array of electric vehicles are scheduled to be unveiled during the latter part of this year, comprising Bolt by Chevrolet, mid-sized utility vehicle Ioniq 5 by Hyundai, and EV6 manufactured by Kia, thereby increasing the share of electric vehicles in the U.S. from the current two percent of the number of vehicle registrations, at present.