by Jackie Johnson Jackie Johnson No Comments

Like many industries, the automotive industry has been on a roller coaster of highs and lows during the coronavirus crisis.

How COVID-19 is Affecting the Automotive Industry

With countries around the world struggling to regain traction, here is how some of the major players are doing.


During the beginning of 2020, there were concerns over a disruption in Chinese export parts. Total shipments during the first half of the year were down by 10%.

In response, June saw the Chinese government announcing its plan to increase the NEV credit ratio by 2 percentage points every year until 2023, from 12% in 2020 to 14% in 2021, 16% in 2022, and 18% in 2023.


Europe has faced a large-scale interruption of productions during lockdown. Sales of vehicles also declined by 16% and car registrations have fallen to about 25%. This downturn has had a ripple effect in other European markets as well. The petrochemical market in particular has been heavily affected by the challenges faced by the European automotive industry.

However, with the easing of lockdowns in many countries in addition to various economic revival stimulus packages, Europe is once again seeing a growth in the auto industry.

United States

In the US, assembly plant closures have added to the already intense pressure on an increasingly distressed market, with limited inventory and fewer incentives continuing to hold back sales. Total sales for the first half of the year were down an average of 23%, with Toyota being hit particularly hard with a decrease of 24%.

There is hope, however. While still not at the same capacity as before the pandemic, Automakers like General Motors and Ford have been able to add shifts to their assembly plants. GM expects to rebuild their inventory to about 600,000 vehicles by the end of 2020.

Continuing Innovation

Despite the downturns and pitfalls this year has thrown, the automotive industry is not without its innovations. This year has seen a marked improvement in crash avoidance technologies. Toyota has partnered with Hebei Pride to commercialize its standardized safety testing for AEB (automatic emergency braking) systems, and Mercedes Benz has announced a new, frontal rear-seat airbags in all of their S class cars. In addition, the United States has passed the Moving Forward Act, which will mandate the inclusion of automatic collision warning technologies in all new passenger vehicles.

In Conclusion

While still bleak, things are slowly starting to look up for the global auto industry. As lockdowns ease up and companies are better prepared to keep employees safe, things are slowly starting to improve. The coronavirus pandemic has been a tough time for everyone, but if we continue to practice social distancing and continuing to innovate, we, regardless of the industry we are in, will get through this better than before.

Advanced EMC Technologies is dedicated to helping you during these uncertain times. Contact us to learn more!

Leave a Reply

Your email address will not be published. Required fields are marked *