As the deadline for the United Auto Workers' announced strike creeps closer without the union having reached a deal with manufacturers, experts warn that the impact of the workers' action could be devastating for the U.S. car industry.
"The union has shown a willingness to strike all three Detroit-based automakers if necessary, which would make it unusual in its size," Tyson Jominy, Vice President of Data & Analytics at J.D.
"While a UAW strike will significantly impact car production, the union's strategy is uncertain. Regardless, it is likely a significant number of vehicles, many in popular consumer segments, will not be produced during the strike." The cab is lowered onto the frame of a battery-powered F-150 Lightning truck at Ford's Rouge Electric Vehicle Center in Dearborn, Michigan, on September 20, 2022. A long UAW strike would limit availability of popular vehicle models and could raise prices.Experts are split on how a potential UAW strike could impact the price of new and second-hand cars.
Jominy agrees, saying that"consumers of all brands will potentially see higher prices if the strike persists longer than a few weeks."