Another thread made me think of this. Just wondered if anyone has had any experience of car prices rising on new purchases or leases follow the quite large fall in the euro? Or are currency fluctuations more of a long term strategy for manufacturers?
It wasn't that many years ago that the euro was similar to what it is now (even worse if I recall correctly) so maybe there won't be any impact but thought I'd ask.
The rational part of me expects they will have to so prices remain harmonised across Europe. That said some manufacturers will no doubt use this as an opportunity to grow market share as they seem to be at overcapacity currently. It will also depend how far the importers have currency forwards for which might well be a long way as they will want to keep prices stable generally.
So I would expect "waiting list" cars to increase in price but more regular cars with lots of competition to hang on at current levels for now.
Much will ultimately depend on the profit margins involved (gives capacity to absorb exchange rate swings), amount of built stock and potential for cross border shopping damaging local markets.
I was worried about this as I was due to replace my car, this year I placed my order on the 23rd June on the offchance.... in reality I don't think Audi / VW (the only ones I have experience of) have changed their pricing yet.
The inevitable upward pressure has commenced. It doesn't only manifest as increases in list prices but also as decreases in some discounts. Ultimately, however, demand will dictate the prices: these cars cost relatively little to produce.
I collect my new Volvo tommorow I used car wow to negotiate a discount no difference in price. The wife's xc90 no discount but had things thrown in to make it a decent discount.
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