We May See a Sudden Boost in the Automotive Industry

Whether by accident or intentionally, the federal government might have just given the automotive world a sudden boost which is necessary.

While the automotive industry performed better than expected last year, considering the pandemic and shutdown, none of the automakers would tell you they hit their pre-pandemic projections. As we see what’s going on in Washington, D. C., there’s a good chance the actions taken will give the auto industry more customers this year.

Stimulus Checks Could Give Recipients the Down Payment They Need

The latest round of stimulus checks is the most generous that we’ve seen from the federal government. This time, every dependent on a tax return qualifies for $1400 to the named person on the return. This means a family of five will receive $7,000 from the federal government. This could be a hefty amount to put on a vehicle and part of the purpose of this being a true stimulus.

Timing of the Stimulus Could Lead to the Sudden Boost

Not only are many Americans receiving these stimulus checks as spring begins, but now is the time when most will also see their tax return money in their bank accounts. These two payments coming in at the same time could mean an American that would have bought the base model of a car could choose one that’s a step higher. It might also mean that payments can be lowered for them, which means payments can fit in the budget better.

The Federal Fleet is Looking Toward EV Models

Another change that will certainly give the automotive industry a boost came with the announcement of changing the entire government fleet to electric vehicles. As various automakers are looking for a bid to win the contract to build these electric models, we will see more jobs begin for Americans around the country. The goal of this change is to create jobs, offer environmentally-friendly vehicles, and allow the federal government to be the example more Americans can follow.

Vaccines Can Help Give the Sudden Boost Needed

While not directly linked to the automotive industry but linked to being able to put the world back to a sense of normalcy that will help all Americans, the federal government has ramped up COVID-19 vaccine distribution. Working from what was begun by the previous administration, the speed and accessibility of these vaccines could make it possible that we might live in a mask-less world in the next few months.

An Economic Boost that Will Aid the Auto Industry

Whether by design or as a result of other desires, the auto industry should see a sudden boost in sales, in customers visiting dealerships, and in job creation through actions taken by the federal government. This could hint at more areas of our lives getting back to normal.

We might be able to see full crowds in stadiums after more vaccines are given, we might see fewer social distancing stickers around us, and we could see federal EV models on the roads as we drive around in the vehicle, we bought with the money from our stimulus checks.