Taha Car Collection, an auto salvage company based in Auckland, NZ, recently gave their point of view on the impact of COVID-19
New Zealand (NZ), as a country, has been blessed to eliminate COVID-19 within a couple of months. However, the impact on small and medium-sized businesses during and past the lockdown period has been extremely devastating. And for salvage yards, this is no exception.
The global finance market has been smashed in 2020 and this has also affected New Zealand. Things are becoming brighter but still not good enough to meet similar proceeds like past years. The only chance of endurance for any country is doing business globally, something which is not possible at the moment. Financial instability for bigger businesses is making things worse and unemployment is rising.
Overseas Market Crash
The majority of salvage yard businesses are dependent on overseas buyers who purchase spare parts and recycled metal at competitive prices. Due to border closures, everything is stuck in the middle and companies are losing millions because of sporadic trading. During the lockdown period, the revenues decreased by 70% and still struggled to meet the expenses. Even though the gulf market is half-open, the overseas trading is still cold and the market condition continues to be low.
Temporary Closures and Unemployment
The NZ government has introduced some excellent help to get through these hard times using wage subsidies and business loan policies, but unemployment is still rising. Businesses are still shutting down and people are losing their jobs. The same thing has happened in the salvage and recycling industry. The NZ government is considering extra help to push the situation forward, but unemployment is still on the rise.
Uneven Business Proceeds
Even though NZ has won over COVID-19, the global pandemic is still going on. People continue to be affected emotionally and financially. Business revenue continues to decrease because people are not ready for actual trading and everyone is keen to save some money for rainy days. Overall business proceedings are really crumbling at the moment and not looking positive in terms of recovery.
The automotive industries have been devastated by the global pandemic. However, thanks to the local wreckers like Taha Car Collection who are trying to keep things moving in a safe way by offering free car removal service across Auckland and paying top cash for cars on the spot.
All citizens of New Zealand are highly encouraged to support local businesses, especially automotive, tourism and hotel trades.
The original release was published on openPR.