Until recently, waiting around 10 to 14 months to receive your new car concerned buyers of luxury sports cars and contributed, in a way, to the charm of the acquisition process. The average waiting time for a new normal range vehicle was around four months. Since the shortage of semiconductors, caused by an unprecedented increase in demand for high-tech domestic equipment at the height of the pandemic, the temporary shutdown of certain manufacturing units and then the strong post-Covid economic recovery, this The time varies between 6 and 12 months, and can even reach 18 months for certain models.
Packed with electronics
It’s hard to imagine, but an average car contains around 1,500 semiconductors, or even more than double for electric vehicles. These essential chips manage both the elements essential to the operation of the car, such as engine management, as well as those related to safety such as driving assistance or those of comfort such as mirror adjustment.
Manufacturers are therefore faced with many challenges: continuing to produce and reducing waiting times as much as possible, without skimping on safety and quality. On some ranges, options have become unavailable, others are still available but will be installed after delivery of the vehicle. There is still the case of this model at the end of the commercial cycle for which the manufacturer has decided to dispense with digital instrumentation in favor of a traditional analog handset with needles.
Not all in the same boat
A temperature check with different importers and brand agents has shown that there are many disparities in lead times, depending on the organization of production or the size of stocks in the factory and at distributors. Some brands are suffering from this crisis more than others. Popular models are generally given “priority” in manufacturing planning and maintain acceptable delivery times. Finally, the major regional dealerships have a rich, diversified stock immediately available to customers. Thus, the Chevalley garage has several Mercedes-Benz models in stock and therefore immediately available (see below).
Drawing an overall conclusion from this situation therefore remains complicated, especially since the manufacturers’ recent 2021 financial results suggest that the financial impact of the crisis remains measured. This partly means that the average price per vehicle sold is higher, thanks to the rise of more expensive electrified vehicles, as well as increased demand for higher margin-generating trims and ranges. On the other hand, the fall in volumes is weighing on all distribution players.
What deadline?
In general, no brand will set a specific delivery time when ordering. Too many unknowns still enter the equation and manufacturers depend on many suppliers who themselves face shortages. As the situation is changing from day to day, it may as well improve in the coming weeks as it may become more complicated later. A normalization of the pace of the entire supply chain will still take time; a consensus among many experts is for 2023.
As a result of the difficulties in supplying new vehicles, the second-hand market has tightened. Delays in delivery lead to a scarcity of the supply of recent second-hand goods. In 2021, the prices of second-hand vehicles increased by an average of 9.6% according to the Federal Statistical Office. Models in high demand have seen their prices soar to unjustified levels on the over-the-counter market. A configuration favorable to private sellers, but which will be absorbed very quickly, as soon as the new home market stabilizes.