Sixt warns of further price increases in Germany

Leading car rental firm Sixt has warned that car rental prices in Germany will continue to rise because rental companies lack new vehicles, reported dpa.

"There will continue to be a high demand with a simultaneous shortage of supply," Sixt board member Nico Gabriel told the industry journal Automobilwoche.

In addition, prices of new cars have risen by almost 30 per cent in 10 years, which also results in higher rates.

According to figures from the Federal Statistical Office, prices for rental vehicles in August rose by more than 50 per cent compared to the same month last year.

Many people have switched to private transport because of the pandemic, meaning rental companies downsized their fleets during the crisis. Now demand is picking up again but car manufacturers are not supplying new cars because of a bottleneck in important electronic parts.

The German Association of Car Rental Companies estimated in September that rental companies were short of about 75,000 cars.