Industry revenue of “manufacture of motor vehicles“ in Portugal 2011-2023
Over the past two decades, vehicle sales in Portugal have fallen considerably, with one of the main reasons being the low annual wages that have led to a reduction in demand. Some of the major car manufacturers such as Ford have witnessed a marked decline in sales, prompting them to reduce production and shift their major operations to other profitable markets. Thus industry revenues are projected to fall from 3.4 billion U.S. dollars in 2011 to 2.1 billion U.S. dollars by 2023.
Additionally, the outbreak of the corona virus is set to add to the industry’s woes. Production has dropped drastically, as industries are operating with minimum capacity. Moreover, the demand is expected to drop significantly, as consumers are likely to curtail their discretionary spending in the short to medium term. In fact, year over year auto sales have already dropped 57 percent in March.
Additionally, the outbreak of the corona virus is set to add to the industry’s woes. Production has dropped drastically, as industries are operating with minimum capacity. Moreover, the demand is expected to drop significantly, as consumers are likely to curtail their discretionary spending in the short to medium term. In fact, year over year auto sales have already dropped 57 percent in March.
