The world’s largest economies are engaged in a trade war, and auto makers are getting caught in the crossfire. The industry also faces a slew of other problems which will be hard to overcome. The auto industry’s headwinds are getting stiffer by the day, reinforcing MRP’s Short Autos theme. A confluence of factors including shifts in consumer preferences, rising interest rates, the proliferation of mobility services, and an escalating global trade war that could push car prices higher. Consequently, we expect vehicle sales to slow this year and over the next several years . . .

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