Auto sales increase in April in the United States and China for the 12th consecutive month
the Monthly Automotive Metals Index (MMI) jumped 8.1% for this month’s value, as US auto sales showed strength in April.
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Auto sales in the United States continue to show strength
Automakers posted strong US sales results in April, even as the lingering semiconductor shortage continues to hurt the auto business.
Ford Motor Co. retail sales reported in April jumped 57.1% year over year. April retail sales reached 197,813 units.
Retail sales in the United States also jumped 23.7% from April 2019 sales.
Truck sales jumped 33.0% year over year. In addition, SUV sales jumped 127.2%.
In addition, Ford EV sales jumped 262%.
Honda sales jumped 171% in April, reaching 156,482 units sold. Honda car sales increased 125.1%, while truck sales increased 207.5%.
As for quarterly journalists, last month FCA United States reported that first-quarter 2021 sales jumped 5% year-over-year. General Motors first quarter shipments reported jumped 19% year over year.
Today, GM also released its first quarter financial results, posting net income of $ 3 billion.
General Motors Co. today announced first quarter earnings driven by strong price and mix performance in North America, strong credit and residual value performance at GM Financial, and industry recovery in China, ”GM said. “The company is very confident in its 2021 full-year forecast presented earlier this year as it strives to manage the semiconductor shortage, which is impacting automakers around the world.”
April forecast for record sales
As we noted at the end of last month, JD Power and LMC Automotive had forecast US auto sales in April to hit a record for the month.
They expect retail sales of new vehicles in April to reach 1,325,500 units. Trucks and SUVs are expected to account for 76.1% of these sales. When adjusted for sale days, this sales figure marks an increase of 110.6%.
Meanwhile, April’s sales forecast also marked a 20.8% increase over April 2019 sales.
Intelligence companies have projected 1,479,800 units in total new sales. This would mark an increase of 107.1% from April 2020. Compared to April 2019, this is a jump of 7.8% after adjusting for selling days.
The record month comes despite a low inventory, according to Thomas King, president of JD Power’s data and analytics division.
“Despite a low inventory, April 2021 will be another record month for the US auto industry,” King said in this month’s forecast report. “Building on the strength that started in Q4 2020 and continued through Q1 2021, the industry will set records for April sales volumes, transaction prices, consumer spending and the profitability of retailers. ”
Auto sales in China
Auto sales in China continue to increase. Sales reached 2.53 million vehicles in March, the China Association of Automobile Manufacturers (CAAM) reported last month.
In the first three months of the year, sales totaled 6.48 million vehicles. The quarterly total increased 75.6% year over year.
Car sales in the quarter were up 73.7% year-over-year. Meanwhile, SUV sales jumped 79.6%.
Electric cars and critical mineral supply
Nations have set climate goals that will require massive changes from industry, the average consumer and beyond.
From source (i.e. power generation) to manufacturing all kinds of products including electric vehicles, demand for products like copper, nickel, lithium, cobalt and a variety of essential minerals will only increase.
Consequently, this reality leaves some to sound the alarm on the supply of raw materials that will fuel the “green” revolution.
The International Energy Agency today released a report on the issue titled “The Role of Critical Minerals in Clean Energy Transitions”.
“Today, data shows a looming mismatch between the world’s enhanced climate ambitions and the availability of critical minerals that are essential to achieving those ambitions,” said Fatih Birol, IEA Executive Director. “The challenges are not insurmountable, but governments need to give clear signals on how they plan to deliver on their climate commitments. By acting now and acting together, they can significantly reduce the risk of price volatility and supply disruption. “
Real metal prices and trends
The price of HDG in the United States rose 7.4% to $ 1,694 per short ton on May 1.
The LME’s three-month copper jumped 12.4% to $ 9,940 per metric tonne. The price of shredded scrap in the United States fell 1.6% to $ 436 per short ton.
The premium for Korean 5052 aluminum coil rose 6.2% to $ 3.77 per kilogram.
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