Global light vehicle sales expected to fall 0.2% to 81.25 million in 2022
Overview
LMC Automotive’s sales forecast (2022 Chapter 2) shows that global light vehicle sales in 2022 are expected to decline by 0.2% year-on-year to 81.25 million units. The Russian-Ukrainian conflict and China’s epidemic containment measures are further exacerbating long-standing supply problems. LMC Automotive lowered its full-year sales forecast by 1.35 million units from its previous forecast (Q1 2022) amid prolonged unmet demand for new vehicles.
Sales in 2023 and 2024 are expected to recover to 85.93 million and 92.5 million, respectively. However, both forecasts were downgraded sharply from previous forecasts amid growing concerns about heavy inflationary pressures on households and the negative impact on demand from central bank rate hikes.
On a country-by-country basis, the FY22 sales forecast for China, which has introduced a tax reduction policy for passenger car purchases, and India, which has had strong sales so far this year, have been revised slightly. Forecasts for other countries have been revised down across the board, notably in key European countries such as Germany, the UK, and France, where sales in 2022 are expected to be lower than in 2021.
