US auto sales projected to slump in June due to disruption from CDK outage
What caused the slump in US auto sales in June?
The slump in US auto sales in June was caused by the outage at software provider CDK Global, which affected dealerships across the country. This disruption led to some dealerships conducting business using manual paperwork, while others temporarily shut down operations. The issue is expected to be resolved by June 30.
How many new vehicle units are projected to sell in June 2024?
New-vehicle sales in the U.S. for June 2024 are projected to be between 1,336,800 and 1,273,600 units, according to a joint forecast by J.D. Power and GlobalData. This represents a 2.6% to 7.2% decrease from June 2023. The outage at software provider CDK Global, which has affected dealerships across the country, is cited as a key factor behind the expected decline.
When did CDK Global experience cyberattacks?
CDK Global experienced cyberattacks on June 19, 2024, which caused a system outage affecting 15,000 car dealerships across the US and Canada. The company had to shut down its systems after the first attack and again after the second one. The restoration process is expected to take several days, and dealerships have had to implement temporary solutions and manual processes to continue operations.