One of the areas affected by the increase in the dollar exchange rate is the automotive sector, which raises the question: Will the increase in the dollar exchange rate lead to an increase in prices in the industry?
According to Mi-Ron Levy, VP of Vehicles at the Levy Yitzhak Group, "As of now, we have not received new price lists from importers that reflect the increase in vehicle prices due to the increase in currency rates. This is with the exception of the Audi brand, which announced a 2% increase in prices. We received the new price list during October, and this will be reflected in our price list during November.
"At the moment, as mentioned, there is no impact on new car prices due to the increase in the dollar exchange rate. Also, there is currently no market for used vehicles. There are zero transactions on the used market, so everything is in a state of waiting. No one buys cars, except for those who are in dire need of new vehicles - such as those who experienced damage to the vehicle during the war. These will be purchased, because until property taxes compensate them, in the meantime they owe a car.
Forex US Dollar, Photo: Dudu Greenspan
"The bottom line is that at the moment the increase in the dollar exchange rate has no effect on the car market, neither on new vehicles nor on used ones, because at the moment there are no deals in the market. The automotive sector is not at the top of people's minds.
"There is an expectation of an increase in prices in the field of new cars, but this is not yet happening in practice. If there is an increase in prices, there will be less influx of customers to new vehicles and more used vehicles. It's as if we're back to the Corona period, but then there were no new cars and no new cars were bought. So right now there are vehicles, but they're not buying because of the situation."
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