Firstly, the industry has been hit by a global shortage of semiconductors – also known as microchips – which are a crucial part of modern cars as well as all electronic items including mobile phones and computers.
As a result, people have been hanging onto their cars for longer than they normally would, with waiting times for new cars blowing out to six to eight months. Mr Tsouvalas said in some cases, customers were paying more for used cars than new ones as they did not want to wait for months on end for a new vehicle to arrive.
He said if you don’t need a used car urgently, it was best to hold off and wait for prices to potentially drop down the track. “When this ends depends on when we get a supply of new cars into Australia, but the best guess from manufacturers is towards the end of 2022.
Explain the massive stockpiles of cars that just sit in their hundreds in Hendra Brisbane