All About Japan Autos

Recession? What recession? German automakers Mercedes-Benz, Audi, and BMW have had to cut Christmas breaks short at their factories to keep up with demand for luxury vehicles from the U.S. and China. Left Lane News reports that the manufacturers will be expanding their operations in 2011, as their plants have been running at full capacity yet remain months behind in filling orders.

Audi says that the highest demand is for its A3 and A6 models, with a wait time of nearly four months. The A3 is Audi’s entry-level luxury wagon, offered with an available diesel engine and starting around $27,000. The A6 is a large car offered in sedan and wagon configurations with available all-wheel drive, starting at $44,000. “If sales continue to grow like this, it’ll be difficult to say how long it could take to reduce waiting times,” Audi AG sales chief Peter Schwarzenbauer said in an interview with Bloomberg yesterday. “We’re working at full capacity at our plants.”

BMW and Mercedes-Benz are also working hard to keep up with demand. Although sales remain soft throughout the European, Detroit News reports that Mercedes’ parent company Daimler kept factories running through the Christmas and New Year’s holidays.

What does this mean to you? If you’re in the market for a German luxury car, shorten your wait time by going for a 2010 model already on the dealer’s lot. Even though they’re last year’s car, they’ll still be brand new, and will likely have steep discounts compared to 2011 models. Additionally, if demand remains high, automakers will be less likely to offer significant financing or cash back deals on their 2011 models, meaning you may have to wait for longer than usual without the incentives that are usually offered.

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