The 90th edition of the Geneva International Motor Show has been canceled because of coronavirus fears, striking a marquee event from the global auto industries calendar as it braces for a third year of recession.
Switzerland’s Federal Office of Public Health on Friday said the gatherings of more than a thousand people, public or private, have been banned until at least the 15th of March in a bid to restrict the spread of the coronavirus.
According to the organizers, roughly 200 exhibitors attend the annual car show, along with 10,000 journalists and roughly 700,000 visitors.
It’s official, the Geneva International Motor Show, one of the world’s largest automotive events has been cancelled. The show is quickly being dismantled by some 200 exhibitors who were due to showcase latest models, and many of those car brands do not have a plan B.Others have said they will be live-streaming their launches, for example BMW i4 concept EV. Some are looking at alternative venues.
There is some good news though, the car of the year awards which gets announced on Monday will be taking place, but in Germany. For the organisation itself, they’ve estimated a direct hit of about $2 million, but the overall amount is expected to be much bigger.
It is one of the Switzerland’s biggest organised events, generating around $250 million during its ten-day period. For now the next event will be in March 2021.
Strap in for the economics of this whole thing, everyone. I know in the short term we’re all going to be very focused on prevention and controlling the spread of this disease, but globally this is going to hit our wallets hard.
Every supply chain is going to be stressed this year. As international vendors fall behind, domestic vendors will attempt to pick up the slack. As they reach capacity, the cost of goods will rise. This is all assuming that there is still demand for consumer products as spending contracts though.
Take a hard look at your finances and make sure you’re prepared for a cut in your income. Are you financially prepared to be out of work for two weeks or more if you get sick? Cut your spending back until you can answer this question with a definite YES.
If consumer spend contracts hard, we’re going to see a lot of layoffs and businesses closing. If your health isn’t an immediate concern, focus on your personal resources. Look ahead 3-6 months and remember that cash will be king. If possible, buy the dip!
When China quarantined Wuhan, the WHO said, “meh, it isn’t global, yet…carry on and please, don’t isolate!” They are ignorant of anything remotely related to virology – they ONLY look for and get funding! The WHO has greatly contributed to the spread of this virus, and if they are not removed and replaced – they will promote the spread of all future pathogen that threaten the planet.
I read an article interviewing families in Wuhan. It detailed people who have tested positive for the virus but not confirmed because of a lack of the confirmation testing availability. Apparently there are thousands at home who are positive but not counted in the official count. The caution remains in the fact that this is a novel virus. It mutates the more it spreads and the lethality could change. The fact that it has spread to over 10,000 confirmed cases in less than 30 days is alarming. It took MERS several months to reach the total number of cases which was just over 8,000 cases.