United States – The severe damage wreaked by Hurricane Sandy will force the scrapping of up to 266 000 new and used vehicles, US car-makers and dealers have estimated.
‘We believe that between 100 000 and 250 000 vehicles currently in operation could be removed from used vehicle supply once all is said and done,’ states the National Automobile Dealers Association’s Senior Analyst Laurence E. Dixon III. The tally could yet grow as General Motors Co and Ford Motor Co have yet to announce their lost vehicle numbers.
The hurricane destroyed ‘at least 17 000 new cars’, the nation’s leading car-makers have reported. Most were ‘damaged beyond repair’ as a result of flooding.
US luxury plug-in hybrid vehicle manufacturer Fisker Automotive has confirmed that it lost 338 of its Karma sedans at the Port of Newark, representing around US$ 34.8 million in replacement costs. Nissan estimates it will have to scrap around 6000 vehicles, with Toyota and Lexus anticipating a total of some 3000 scrap-ready cars.
Hurricane Sandy has been recorded as the worst Atlantic storm in US history, cutting off electricity supply to more than 8 million homes and businesses, leaving all but a handful of New Jersey and New York car dealerships operational.
Source: New York Daily News.