New vehicle registrations are off 16.5 percent through the first eight months of 2020 compared to the same period last year, according to a new report from the Colorado Automobile Dealers Association.
But that's a significant increase from earlier this year when registrations were off by 30 percent.
The market is weathering two significant factors, said Tim Jackson, CEO of the automobile dealers association. First, the cratering economy has reduced demand. Second, the suspension of production lines across the world earlier this year has led to ongoing inventory shortages.
"We only have 10 to 30 percent of what we typically have in inventory on our lots. So the lots are mostly barren," Jackson said. "We've never experienced anything like this, and I hope we never have to again, frankly. But we've weathered the storm pretty well."
The lack of new vehicles has pushed consumers into the used market, Jackson said, pushing up prices by about 5 percent and leading to inventory issues there as well. That market is off by 18.1 percent through August, he said.
You want to know what is really going on these days, especially in Colorado. We can help you keep up. The Lookout is a free, daily email newsletter with news and happenings from all over Colorado. Sign up here and we will see you in the morning!
Colorado Postcards are snapshots of our colorful state in sound. They give brief insights into our people and places, our flora and fauna, and our past and present, from every corner of Colorado. Listen now.
Join us for these upcoming events!
It takes a good day’s drive to cover Colorado, but we’ll help you do it in a few minutes. Our newsletters bring you a closer look at the stories that affect you and the music that inspires you.