Car buyers may pay more amid shortage

Steven Deare
(Australian Associated Press)


Australians buying new cars have been warned sellers have the upper hand while a supply shortage continues.

The nation’s peak industry group on Wednesday said buyers continued to face delays for deliveries as global supply chains remain crippled by the coronavirus.

Car manufacturers are struggling to gain ample semiconductors to meet demand, as the ramifications of the virus outbreak last year continue.

Deliveries of Sony’s PlayStation 5 console, made available last year, were also limited due to similar problems in supplying semiconductors.

NRMA spokesman Peter Khoury had advice for prospective buyers.

“There really isn’t much opportunity to negotiate on price because whatever cars are there, dealers are selling,” he said.

“It’s definitely a seller’s market.”

The NRMA has been trying to acquire more cars for its Thrifty rental fleet as travel demand improves.

Mr Khoury said this was not easy due to the shortage.

He expected the nation’s vehicle shortage to ease later in the year.

Federal Chamber of Automotive Industries director of innovation Peter Griffin said customer demand was strong in spite of the delays.

The industry recorded its sixth consecutive month of growth on the past financial year, which was wracked by COVID-19.

There were 92,347 new vehicles sold in April, an increase of 137.2 per cent on the same month last year.

Toyota was the most popular choice, followed by Mazda and Mitsubishi.


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