Currently reading: Can car makers maintain high profits as discounts return?

As shortages ease, investors want to know whether greater competition will lead to reduced margins

Last year brought bumper profits for car makers even as production remained depressed due to shortages of key parts.

But as those shortages ease, investors want to know whether those car makers can sustain high margins with greater competition for their products. At the same time, consumers are asking the same question from the other side. Will increased production mean we can buy cars more cheaply?

Evidence is emerging that the year will be good for car buyers, less good for car makers, triggering a warning from analysts.

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