Industry Top Trends 2023: Autos

S&P Global Ratings? Industry Top Trends series sets out our industry experts? assumptions for 24 global industries in 2023. They consider what's changed, what are they key assumptions for 2023, and what are the key risks. Autos face weakening demand ahead.

...We view volume recovery in the U.S. and Europe toward previous levels as unlikely before 2026. Extended supply disruption and softening demand are risks to sales volumes. Electrification, supply chain, and infrastructure investment will raise clean mobility transition costs. This will call for better capital allocation against emerging protectionism and competition. Higher interest rates will dampen economic prospects in Europe and the U.S. Tighter interest rates will likely raise affordability issues and increase pressure on prices....

Commentary