US to see a huge slump in car sales

Car sales in the USA could see a significant drop due to coronavirus. Photo: Getty

Retail auto sales in the U.S were 35% lower than expected last week, with a 45% decrease in sales for the month of March, according to data today by American-based data analytics company J.D. Power.

Sales are forecast to plunge even further this week and in the coming months after a number of states ordered most residents to stay home to help contain the coronavirus outbreak, says Automotive News.

For March 2020, J.D. Power is forecasting that retail sales will be 38% to 45% lower than in March 2019. The company expects year-on-year drops of as much as 78% in April and 75% in May.

J.D. Power said the virus outbreak could eliminate 1.8 million to 2.8 million retail sales through July, says Automotive News.

The drop-off was even steeper in certain parts of the country, including an 86 per cent plunge over the weekend in San Francisco after California residents were told to stay at home.