In the fifth week of the UAW’s cascading “stand up” strikes against the Detroit Three automakers supplies of some of the most popular models are starting to dwindle and consumer preferences are in flux, according to research by car reviews and research site Cars.com.
Indeed, the strikes are actually affecting both purchase timing and for some, brand preferences, according to the Cars.com consumer survey taken between the first day of the strikes on Sept. 15 to Sept. 25 and based on 3,561 responses.
Of the 77% of the respondents who said they are “aware” of the UAW strikes, 15% said they are now considering a vehicle built by UAW labor, while 8% said a UAW-built car or truck is no longer on their lists.
The strikes have also affected whether or not those currently in the market for a new vehicle would consider any vehicle from a Detroit Three automaker.
According to the survey, 29% said they are now “more likely” to consider an import because of the strike.
That picture is curiously different among union members or their family members.
Of those affiliated with a union, meaning they’re either members or in a family with a union member, 31% said they are more likely to buy an American brand vehicle since the strikes began versus 9% for those with no union connection.
However, 42% union-affiliated respondents said they’re now more likely to consider an import brand since the strike versus 25% with no union affiliation.
The strikes may have simply added to a trend already well in progess before they began.
“We looked at which brands were moving the fastest off of dealer lots and those brands were Toyota, Honda, Subaru, Kia and Hyundai. None of them were the Detroit Three,” said Cars.com editor-in-chief Jenni Newman in an interview. “So then we went back and we looked at August and it was the same group so already, those foreign automakers seem to have a leg up at least right now when it comes to what’s appealing to shoppers. When we looked at the slowest moving brands for September, you know, it was Dodge it was Buick, it was Ram it was Chrysler and Jeep. So they they may have already been struggling a little bit and then you fold into this the strike.”
As might be expected, inventories of vehicles produced at the first three plants where UAW workers walked off their jobs on September 15 saw some of the biggest declines between that date and October 15.
The supply of Chevrolet Colorado and GMC Canyon mid-size pickup trucks produced at the General Motors Co., Wentzville, Mo. assembly plant declined 50.3% and 43% respectively, according to Cars.com research.
The Ford Bronco and Ranger pickup truck are built in Wayne, Mich. At Ford Motor Co.’s Michigan Assembly Plant. During the four-week period, inventories for the Bronco dipped 15% while Ranger supply dropped by 45.3%.
The supply of two key Jeep brand models produced at the Stellantis Toledo, Ohio assembly complex ebbed as well, with Wrangler down 23.7% and Gladiator off 11%.
Keep in mind, GM, Ford and Stellantis prepared themselves for the prospect of a strike by boosting production in advance.
A report from Cox Automotive notes that preparation in pointing out even with the strike-caused production interruptions inventories aren’t threadbare, yet.
“Inventory levels remain relatively stable, and, with the exception of some GM models, Detroit automakers have ample inventory for now to keep them operating through the coming month,” wrote Charlie Chesbrough, Cox Automotive senior economist. “Some brands have inventory buildup, so production disruptions will take time to feed through the distribution network. However, the strike could start to have an impact in the coming weeks if it continues.”
The Cars.com survey reflects concern from some consumers about how the strikes might affect the availability of their preferred models and trim levels, leading to reconsideration of when they’ll make a purchase.
Of those who said they “intend” to purchase a new vehicle 14% said they’re sitting it out until the strikes end while 11% said they’re not waiting and will buy sooner.
As the strikes continue, Cars.com’s Jenni Newman says shoppers need to make some decisions without delay.
“You’ve got to come in, you’ve got to be ready to buy, right? There’s no sitting back and thinking about that vehicle if that fits what you need,” said Newman. “The other side of it is if you decide to wait, then you might need to be really patient because we don’t know how long the strike is going to go on, of course, and it could take a while, especially because the strike is hitting the suppliers as well. So you either need to move fast, or you need to be prepared to wait quite a while.”
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